For some time now, I've been writing about terms I find in LeoGlossary. The purpose of these posts is to explain confusing or incomprehensible words or terms in simple terms. Not everyone has a financial education. And not everyone has the time to study some issues. But since we are in blockchain, sooner or later we will have to know some of the basics of finance. So as not to miss out on the benefits. Or at least be prepared for some constantly recurring events in the world of cryptocurrency and financial markets. In general, I'm trying to give value or point out some of the terms that I found interesting.
My past writings:
Compound Interest In Simple Words
Arbitrage In Simple Words
Today I want to talk about Wright's Law. It's pretty simple to understand, but I found it quite interesting. Let's see what we can get out of it. Let's go!
Wright's Law
LeoGlossary tells us that Wright's Law is:
Each time the number of units manufactured doubles, the cost declines by 20%.
The 20% is a rule of thumb since the actual percentage will vary based upon the industry. However, when looking at it across many different industries, this does seem to hold.
What I adore is this empirical law. That is, obtained by practical means. That means it's been working all along. It's just that now it's been formulated and defined.
Wright's Law. To put it even more simply, the more you do the same thing, you're bound to find a way to save money. Maybe it will be saving on materials, effort, or just saving time, which is also very important.
So how can this benefit us? Any new products on the market are about to get cheaper! If you're not a fan of shopping for new products for crazy money, it's worth the wait. During this time, manufacturers will find a way to make it even cheaper, plus the market will create competition, plus you will know almost everything about the product. Quality, advantages, disadvantages and so on.
If you're a creator, after a while you're sure to find (invent) a way to make cheaper, faster or better. So often the first calculations can be much worse than it will be in the future. Nothing is more valuable than trying it and then repeating it 100 more times. Everything comes with experience...
Wright's Law on Hive
My first Hive posts were very hard, even though they weren't even 500 words long. Everything was hard for me here. From choosing a topic, to the tags I had to put under the post. From the first words to the publish button took about 5 hours. That's almost a full day's work. And after publication, I was exhausted like a lemon. That said, I rarely liked the results. I still think I could do better...
As time went on, a lot of things got done a lot faster. Sometimes my hands type themselves, I just reread and edit at the very end. Now it takes me about 1–2 hours to write and publish. Rarely 3 when I get caught up in the process and try to do everything perfectly. Or when I'm writing on a topic I don't quite know. Like right now, for example.
In the end, Wright's Law really works for me. I think it works for most Hivians who stick around. It's a shame that many newbies don't take that into consideration and give up. Perhaps many need a little more time, a little more trying, a little more patience. Wright's Law already works. And it has always worked...
Wright's Law in life
As you may have guessed, this law applies to one degree or another to everything in our lives. Maybe that's why we all knew it. Now we can easily operate on the name of this law, if necessary. Wright's Law can even be sexy if you want it to be!
Wright's Law everywhere
Every time I take on any new job, it feels like rocket science to me. Even if it's just wiping dust off an electric meter. Sound familiar? Yes, we are very skeptical about every new event or business we take on. And in fact, it's the only thing that moves us forward.
I was always amazed as a child at how fast my grandmother baked pancakes in the oven. When you consider that at the same time she was feeding the pets, waking my brother and me, pouring milk and carrying water for laundry... All in all, I haven't been able to replicate this yet at this rate.
In the end, one should always remember Wright's Law. And be sure to do what you enjoy. Then that law will work many times better. That's how you become a professional. That's how you become the best!
That's all for now!
Peace and Hive On!
