Baking bread is addictive. There’s something about the way the yeast makes the bread silently, slowly but relentlessly grow that is intriguing. And then there’s the simple pleasure of eating bread you have made with your own hands. So this year, with my new found interest in baking bread, I need to make a Stollen – home-made bread, fruit and marzipan; what’s not to like?
The way to feed the inner accountant is not by Stollen alone. Dough is one of the many alternative names for money, and I want my money to grow like dough – quietly and consistently, so as I watch my Stollen dough rise I might think of pecuniary matters. How can I make my money rise like dough?
The secret of winning in the capitalist system is the way that money multiplies on itself. Regular savings that remain untouched are the way I can gain enough initial capital for the yeast of compounding to do its magic. To make the magic work I then need to invest and there are two levels of growth that I want to tap into: income from my investment and an increased value of that investment. If I save that growth for a number of years then my money will rise like dough.
That’s the way to acquire a fortune. It’s the deceptively simple secret of capitalism.
So why isn’t everyone rich?
It’s because the system is also designed to encourage us to spend so we don’t make the initial regular saving to create the capital from which to obtain investment income. But still it is our choice, to spend now or watch our money rise like dough. Simple.