Wednesday, April 23, 2008

Life on rental

After a long silence, I'm back!!! So much for my resolution to blog once a month. I guess it is due to the concept of trying to be perfect and ended zero (the worst in the scale of perfection!)

First, I have seen people renting cars when they go on trip or check into hotel during holidays. You sure bet they will maximize the car or room because they know they have paid a fixed fee and they feel they 'lose out' if they do not use it to the maximum.

Secondly, I have also seen people buying cars. They sometimes love their new assets so much that they take care of it to the extent of not using it to keep it new and shiny. Unfortunately, I have to say that we actually do not own it. Whatever that we buy with the intention of selling it off later at a price is actually 'a rental'. For example, we bought a car for $50k. 5 years later we sell it for $30k. What it simply means is that we actually spent $20k renting the car for 5 years or $4k per year.

While a car with better condition can command a better price when we sell it off, it is actually minimal. However, if we consider those years where we did not use the car, we actually lost out. Why not use the car to the max (without abusing it of course) as it is actually a fixed rental (in a way through depreciation).

Now, that's only a car. But let's take a look at life. If we assume we rent our physical body which has to be returned some day (ie we die!), it is a fixed rental. The price for rental is probably our past actions (if you believe in past life) or our current hardship that we go through all this while. There is a price we pay and if it's going to be that way, why not maximize our life? For the same price we pay, we get more out of it, a concept that sounds like music to the economists, financial analysts, production managers, advertisers and of course you.

So in life, the tougher the hardship means the higher the rental we pay
The higher rental we pay means the more we should get out of life!

Now, go and get it... you sucker