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Sanford Kahn is a .
The Seven Precepts were developed to give [link widoczny dla zalogowanych] people a different and realistic view on life and events?devoid of popular myths and seductive illusions. They are based in part on my 30 years of experience as an economic/business author and speaker. The precepts are based on the classical definition of economics?the study of human behavior in its historical setting. In other words, economics is psychology.
These precepts are unique in that they are the result of combining the laws of economics, sociology, and physics into a set of seven basic statements to be used as a guidepost, to make your life more enjoyable and understandable. They are not religious dogma, but instead are a reference for confronting and resolving many of life?s conflicts.
Precept #1
The eternal truth of the universe is that all actions provoke reactions. In human terms these reactions or consequences may be positive or negative. Someone or something has to pay a price or cost. There are no free lunches.
For example, in interpersonal relationships, honest communication is both important and essential. You can control the ?what and when? of your communication, but you can not control the resulting impact (positive or negative) it has on the other person. This, honest or otherwise, is the cost or price of your communication.
Another example?in [link widoczny dla zalogowanych] economics you can not simultaneously control [link widoczny dla zalogowanych] the cost and quantity of any product or service. If you try to control the cost (price controls), the quantity (and quality) decreases. This is the result of trying to control the price of any product or service.
There are always consequences or costs to any action taken by an individual and their consequences have to be weighed against the cost of the proposed action.
Precept #2
In physics there exists a law titled the ?conservation of matter?. It basically states that matter can not be easily created or destroyed. However, the states of matter can be changed. For example, by applying enough heat to a solid you can transform it into a liquid, as with ice. A liquid heated to the boiling point can be changed into a gas. In all cases they are still the original matter, but in [link widoczny dla zalogowanych] a different state.
In a similar vein, using the law of the conservation of matter, [link widoczny dla zalogowanych] there exists in all societies a conservation of personal power. It states that Personal Power can neither be created nor destroyed, but it can be transferred.
Societies have two and only two broad [link widoczny dla zalogowanych] options
. Through their respective governments, they can institute policies that will empower the individual or policies that will empower government. If you wish to empower the government for greater economic stability, then [link widoczny dla zalogowanych] you must transfer some of your personal power to it.
There are consequences to both broad options (Precept #1). One set of policies will lead to a growing set of opportunities for advancement while the other will lead to dependence and stagnation.
Precept #3
The purpose of life is to grow and prosper within the rule of law and the bounds of morality.
Among human beings, the notions of growing and prospering are subjective, that is, they are individually conceived. If prospering to you means sitting on a mountaintop pondering your existence, so be it. On the other hand, you may wish to grow and prosper and add to the wealth of your society by opening up a legitimate business enterprise. The latter is more preferable than the former because it adds to the wealth and well being of society.
The above paragraph begins with the phrase ?the purpose of life?. Many individuals who ponder their existence ask the perpetual question?what is the meaning of life? This is a difficult question to answer because they are asking the wrong question.
You find meaning for your life within the context of its purpose. Define that first and then a better insight into [link widoczny dla zalogowanych] the meaning will follow.
Precept #4
All movement in the flow of life is turbulent and, therefore, unpredictable. In other words, life isn?t linear (a straight line). As a result of the turbulent flow of life, the future is unknowable. Predicting the future is an exercise in probability analysis. For example, if I take these actions now, there is a 70% probability that in two years I shall arrive at this outcome.
Turbulence almost guarantees that it is not a question of if something will go wrong with your life plans, but what and when? Therefore, in designing your life strategies plan in broad strokes and have a fallback position.
Given the turbulent nature of life and its unpredictability, the question for you should be: ?how do I capitalize [link widoczny dla zalogowanych] on its opportunities?? The future belongs to those [link widoczny dla zalogowanych] individuals who can quickly discern, adapt to, and exploit the unpredictable movements in the turbulent flow of life. Stagnation produces nothing over time but decline.
Precept #5
The purpose of ANY investment is to increase one?s net worth. The term ?net worth? applies to more than stocks, bonds, or real estate. You, your family, and your community can also be viewed as an investment.
Thinking in terms of increasing one?s net worth forces individuals to expand [link widoczny dla zalogowanych] their time horizons. What actions can I take today that will increase my net worth or value over the next 5 to 10 years? For example, why do individuals invest their time and money in going to college or trade school? Obviously, they are not [link widoczny dla zalogowanych] making significant monies while attending school. But, they are learning a particular profession or trade (skills) that will increase their Net Worth or value in the marketplace. By so doing, they will have the potential of increasing their incomes.
Precept #6
God is no tyrant. He enforces no preordained plan for the conduct of human affairs but, instead, has bestowed upon the people the power to create a heaven or hell on Earth. Whether man thrives or perishes is dependent on the choices he makes.
I realize that this precept may be controversial and even heretical to those who believe in some divine plan for mankind. There is a divine plan but it is so simple it flies over the heads of the majority of mankind. The plan is?there is no plan, only the one you create.
At this point it would be wise to re-read Precepts #1 & 2. Every choice has a cost or consequence.
Precept #7
Mortals can?t be perfect. We are not designed that way. You might say this by definition. Only God (however you define it) is perfect.
When mortals try to be perfect the result will be nothing but problems and potential disaster. Why? There is an old Greek saying that explains why the path of perfection for mortals leads to disaster. It is: for whom the Gods will destroy they first make overconfident. When individuals are overconfident they charge ahead oblivious to the dangers and crosscurrents that await. In other words, they are oblivious to the consequences (risks) of their actions (precept #1).
While mortals can not be perfect they can be better. As Ben Franklin noted centuries ago?best is the enemy of better.
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