Wednesday, May 25, 2011

The Shocking Truth About Poor People - Something for Nothing Syndrome

There are many diseases out there in the world, but there none of them have affected as many people as negatively as the "Something for Nothing" syndrome.

Let's face it. No matter what some may say, almost all of us want to be rich and successful. 

Now for some good news and bad news:

Good news: Anyone can become rich and successful as long as they can offer more value than what they get paid for. (that's it)

Bad news: Many people end up doing the exact opposite (myself included)

And the result is that most people don't end up where they want to be. 

Before speculating why this happens, let's first look at some manifestations of the "Something for Nothing" syndrome:

1) The Lottery: We're all seduced by "a dollar and a dream" but every time I've bought a lottery ticket, I've been left with "an expired lottery ticket and disappointment". Trying to get $383 million with $10 is a bit far fetched but millions of people are still playing every day. The same goes for other forms of gambling such as blackjack, poker, roulette, stock market speculation, sports betting, etc.

2) Cheating: Top scores without studying; Ponzi Schemes (Madoff anyone?); Use of performance enhancing or weight loss drugs; The long term results are usually pretty poor.

3) Slacking off: People who try to do as little as possible in their jobs and find ways to get through the day doing nothing. (There are people who actually brag about their prowess in this)

The list can go on and on (even extreme bargaining is a form of this syndrome) but one thing all of these examples have in common is that most of the people engaging in such activities are NOT rich or successful. Go to any casino and look around you - what type of people do you see? Usually the low to lower middle class, trying to "make it". I would not be surprised if the same demographic made up the majority of lottery players. The same goes for the slackers and the cheaters, how many of them do you know have been able to sustainably become wealthy and successful. 

Yes, there are cheaters, slackers and gamblers that get rich but the key word is "sustainable". At the same time the percentage of people with the "Something for Nothing" syndrome that do get rich is extremely small if any. 

So why does this happen? 

People are motivated towards pleasure and away from pain and the "Something for Nothing" syndrome appeals to both of these motivational directions. When you can obtain something without doing anything, you have gained pleasure without incurring any pain. Secondly, anyone who enjoys taking the easy way out or wants to be rich immediately will be prone to activities such as gambling because there is no other place where you can get a 100% return on your investment (if you can call it that) in less than a minute. 

Unfortunately for those suffering from this syndrome, the natural law is that for every action there is an opposite and equal reaction so if you give nothing, naturally you will get nothing. On the other hand, if you give more value, you should receive more money in return. 

Despite learning that "There is no such thing as a free lunch" in my first economics class more than a decade ago, I've been afflicted with this syndrome myself and only recently realized the power of being "valuable". I use to brag about working only a few hours a day, winning at the casino or getting a crazy bargain but now I realize that all those things have worked against me in becoming truly successful. I now constantly look for ways I can add value for my employer, friends, clients and loved ones and I have found life much more enjoyable. 

Directions for being successful: Just add value.