09-04-2012, 01:59 PM
Rich Dad Poor Dad
The book “Rich Dad Poor Dad” by Robert Kiyosaki, is a book about a person who claimed to have two fathers in his life: the biological dad being referred to as “the poor dad” and the father of his best froend, Mike as “ the rich dad”.
Both fathers tried to teach the author about success in life but had completely different approaches. The author thinks of himself as lucky to get to different perspectives from two different persons early on in life about success. Throughout the book, the author tries to compare the various differences in principles, ideas, financial practices that his poor dad had as compared to the rich dad in terms of assets and business intelligence.
The author compares
The author compares his poor dad to those people who are perpetually scampering in the Rat Race, helplessly trapped in a vicious cycle of needing more but never able to satisfy their dreams for wealth because of one glaring lack: financial literacy. They spend so much time in school learning about the problems of the world, but have not acquired any valuable lessons about money, simply because it is never taught in school. His rich dad, by contrast, represents the independently wealthy core of society who deliberately takes advantage of the power of corporations and their personal knowledge of tax and accounting (or that of their financial advisers) which they manipulate to their advantage
The book’s theme reduces to two fundamental concepts: a can-do attitude and fearless entrepreneurship. The author highlights these two concepts by providing multiple examples for each and focusing on the need for financial literacy, how the power of corporations contribute to making the wealthy even wealthier, minding your own business, overcoming obstacles by not fostering laziness, fear, cynicism and other negative attitudes, and recognizing the characteristics of humans and how their preconceived notions and upbringing hamper their financial freedom goals.
The author presents six major lessons which he discusses throughout the book:
The rich don’t work for money
The importance of financial literacy
Minding Your own business
Taxes and corporations
The rich invent money
The need to work to learn and not to work for money