Does anything I said lead you to believe I was recommending she shoot for running a fair sized enterprise -- Famous Amos size? Does anything I say lead you to believe I thought she should get involved in multi-level marketing? Does anything I said lead you to believe that I thought those specific examples were the answer rather than the concept of combining the money with some effort as opposed to passive investment.? If you answered yes any of the above remedial reading should be your next move. She is unlikely to "get out" by looking to securities markets as the way out. Looking to use her time combined with a modest amount of capital is her best play in a universe of not so good plays.
That is entirely true, but they are paid for the job that they are in and what they are bringing to the market, not based on how intelligent they are. I agree that there are many people that are extremely talented, but they put their talent/time/effort into things that aren't particularly rewarded in the market place, but that is of their own choice. My post was more oriented towards those that are constantly thinking they're "getting screwed by corporate America" or their "manager is always out to get them" etc. For most of us, we are paid what we're worth and that includes highly talented people that don't necessarily find monetary rewards equaling their talent.
Employees should not be over paid or even handsomely paid. They should be "reasonably paid" or I would even go ahead and say "slightly less than value". Various reasons 1. Handsomely paid employees are initially happy but sooner or later they "leave" your company taking away experience. 2. Some might start their own business in the same sector and directly become your competitors. 3. Slightly underpaid employees who have a continuous hammer on their heads of losing their jobs tend to perform better. 4. You are in the business to make your life better and for profits. Paying employees more than they deserve is asking for trouble. 5. Eventually EVERYONE leaves. People tend to grow with time in their thinking and chase different paths. 6. Investment in employees should only be based on what kind of returns they can give back. 7. The moment they find a better opportunity they are going to leave. Its their right but you end up wasting thousands of dollars on some one else. --- I am a business man and I can tell you by experience that people you tend to favor the most in terms of financial benefits are the ones that stab you in the back. Treat employees as your products in your company and occasionally give them bonuses or other things based on performance but NEVER over do it. This is frankly how it is. Anyone on this forum who has run a business for at least 5 years would say the same.
Yeah, who knows, maybe I gots poor reading skilz. My point is, it wasn't the lack of $8000 that was preventing her from starting a cottage industry of selling kitty litter from her garage/basement/bedroom. It was her brain (as in, lack thereof) that was preventing her from climbing out of an existence of restaurant prep work. You, yourself, went on about how you test market. This lady didn't need an $8000 windfall to test whether she could successfully sell kitty litter to friends and family at a profit. She could have taken $20 to Safeway, bought 10 bags of kitty litter, and tested her sales ability over a month. Then, she would have an idea of how much kitty litter she could move, and at what price point. Then, it's just 3rd grade math to figure out how much money you can make if you buy kitty litter in bulk/wholesale. You want some dolt who lets $8000 burn a hole in her pocket to be an entrepreneur? Sorry, ain't gonna happen... she doesn't have the vision, the self-control, the planning ability, or the self-motivation to be an entrepreneur. If she did, she would have already been one... as you explained, it doesn't take a massive investment to test market an idea. She had no ideas, and no interest in generating ideas, and she didn't even see the plain-as-day wisdom of holding on to the money for a rainy day while generating interest. Bottom line: a lack of $8000 wasn't holding her back from being an entrepreneur, she just didn't have the basic skills or any remote interest in becoming an entrepreneur. You can't teach someone to have ambition, vision, or the ability to delay gratification. Our broker friend could have told her, "hey, put it in a CD for 6 months at the local bank, make some interest, and think about a business to start-up. You can even use your Ruby Tuesday money to buy kitty litter and see if you can sell it at a profit." But, she still would have run out and spent it on a Chevy Blazer. You know why? Because she is a financial retard... just like all those wage slaves you see out there spending thousands on their credit cards to buy custom rims for cars that they bought on credit.
Many of your points about what keeps people in poverty are well taken and fit my own experience. Here is where you and I depart: The advice she was given is like being a mile from shore and being taught how to swim a quarter mile. The stock/standard advice they get is not real wold and as a society we need to tell 'em times have changed, this is how it is.