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Do you know what Einstein, the greatest physicist of the 20th century, called “the greatest invention of mankind” and “the greatest power in the universe”?

It is not dynamite invented by Nobel, 

nor the discovery of electricity and the technology to manipulate it, 

nor atomic energy such as nuclear power, which he discovered and developed based on his own logic.

It is a very “simple” “logical calculation method”, called “compound interest.”

Compound interest calculation is a concept of “interest” and its accumulation based on economic development theory that dates back to ancient Rome, 

so it is not something completely new.

To use a modern example that is familiar to us today, let’s say you borrow $100 with an annual interest rate of 10%.

In that case, the annual interest is added each month as a “repayment obligation.” 

If you leave it without making a repayment, that interest is added to the principal, and the following month, interest on the increased principal is added.

If you leave it like this for “10 years,” you will be obligated to repay about “$270.”

Normally, 10% of $100 is $10, so you might think that if you leave it for 10 years, 

your repayment obligation would only be $200, but with compound interest, interest accumulates on interest, multiplying the amount, so you need to be careful.

So why is such a dangerous compound interest calculation necessary for economic development?

In the past, currency was made of finite and expensive materials such as gold and silver, which limited the limit of the “scale of the economy” to the amount of a specific material,

and it could not keep up with the value of the increase in industrial energy such as population growth and labor force.

In other words, deflation would slow down economic development.

In modern times, finite and expensive materials such as gold and silver are no longer used for currency, 

and they are mass-produced as paper money, stocks, bond certifications and electronic information that have no physical value,

creating new industries and providing momentum for the infinite growth of the industrial economy.

The genius physicist Einstein, who overturned the conventional wisdom of physics one after another,

witnessed the rapid growth of capitalist society at the time,

and cited “compound interest” as a symbol of the financial power that drives it.

He is said to have left behind the famous quote, 

“Those who know compound interest reap the benefits of compound interest, 

and those who do not know it pay the price for compound interest.”

Compound interest was that powerful, even in the eyes of a genius physicist.

How does it work?

Why is it so powerful?

Simply because, over time, like a natural phenomenon, interest is necessary to support economic growth, and it accumulates as compound interest, and time cannot be stopped.

Financial experts such as banks, economists, and securities companies have created a “dynamism of financial economy” that can be adapted to such powerful real physical theories,

and are now further accelerating the economy by giving digital information the right to buy and sell physical commodities.

However, as a side effect of this sudden acceleration, the gap between rich and poor has widened significantly, industrial structures have become distorted, and currency values ​​have fluctuated wildly.

And sooner or later, the enormously inflated value of the currency will far exceed its real economic value, and the larger the gap becomes, 

the more it will swell like a gigantic, empty bubble, until some trigger will cause it to collapse in an instant without a trace.

It is a fact that this has been repeated many times throughout the economic history of human society since ancient times.

The larger the scale of the bubble collapse that resets the market, the more the real price of commodities will soar, leading to a scramble for supplies, 

which will develop not into a fight over economic power or Logical discussion, but into a fight over physical materials through military force,

which can even escalate into war.

All of us humans must be fully aware of this “fundamental principle.”

No one wants a fruitless struggle or war, where wounds only lead to more another wounds by that fights.

Compound interest is not just a method of calculation based on economics or mathematics, but is simply a quantification of natural phenomena.

For example, the coal and oil that have supported economic growth up until now

are fossil fuels that have been compressed and refined by the force of gravity over millions of years,

and their thermal energy can be said to be a substance or material that has been accumulated through compound interest.

The never-burning up sun is also said to maintain its combustion principle through the amplification of energy from nuclear fusion reactions.

The theory of nuclear fusion is based on an infinite number of hypothetical theories that are “super” minute,

extremely complex, and extend all the way to the inside of extremely tiny atomic nuclei,

and cutting-edge science is trying to analyze how to reproduce it, 

but most scientists believe that it is absolutely impossible to achieve in reality.

However, compound interest calculation of energy from nuclear fusion reactions has been established anyway.

Based on these “facts,” Einstein is believed to have declared that “compound interest” is the greatest invention in the history of mankind, 

and that the “phenomenon of compound interest” is the greatest force in the entire universe.

He could never overlook the fact that what was actually happening before his eyes was considered a “mysterious phenomenon” that could not be explained by the science of the time, 

and in his search for the cause of this phenomenon he came up with a huge number of hypotheses, analytical calculations to prove them, 

and predicted the actual phenomena that demonstrated them, 

and by accurately hitting the mark he proved the correctness of his logic.

In the process, he is said to have stated that human psychology and human destiny are also predetermined.

In terms of this “psychology,” he implies that “the thing that people fear most” is “facing the truth of reality squarely.”

The shapes and strengths of all living things, including humans, are constantly changing greatly due to time and gravity. Furthermore, the values ​​of things and cultures also change greatly over time.

When we are young and full of energy,

it’s easy to make the mistake of unconsciously believing that this power will continue forever,

just like the logic of economic growth.

In this situation, instead of using what we’ve learned from our successes and failures to take new steps toward ever-changing future prosperity,

we tend to try to magnify our past achievements,

with values ​​that have become hollow over time.

In other words, without realizing it, we little by little escape reality,

and as we get older,

when the gap between reality and our ideals becomes too large,

the thing we fear most is to face the truth and reality.

This is because the exact same principle is at work when an economic bubble bursts.

However, it has also been made clear that those who understand compound interest can “greatly gain” from it.

For example, the famous businessman Steve Jobs, who is well known to everyone, is a typical example.

He clearly explains the answer in a “very famous speech” he gave to many young university students.

He says that for the past 33 years, he has stood in front of the mirror every day and asked himself,

If I were to die today, is there anything I would like to do?

Some people criticize him as mentally ill, selfish, and “un”sociable, but

he always looked at the true image of himself reflected in the mirror, including such negative information,

and asked himself,

What can I do now? What do I want to do?

It is an indisputable fact that he built up enough wealth to grow his company into the world’s largest in one generation as a result of earnestly pursuing and accumulating these things every day,

and there are countless examples of people with the same mindset who have built great wealth in one generation.

According to one biologist, the ability of an organism to age and die is a positive function that is absolutely essential for the survival and prosperity of the species.

It has been historically proven that this is the most effective process for transmitting the “wisdom and strength to survive” learned from real life and death experiences to the next generation of children, enabling them to find new richness in the new environments of the next generation.

Einstein’s achievement was to establish an incredible number of unconventional hypotheses,

analyze them using extremely complex mathematical theories,

and arrive at a result that proves that extremely simple formulas and logic such as “e equals M C squared” and “compound interest calculations” have a direct impact on reality.

However, the only thing he could not explain simply was the contradiction between the amplification of energy through compound interest calculations in the law of nature, and the law of conservation of energy”, which he was unable to clearly show in a mathematical formula.

As a factor that could reconcile this contradiction, he was left with the hypothesis that the rate at which time passes is not constant.

As a result, he may regret giving many scientists the “dream” of entirely  unrealistic time machines and technological innovations that are simply “escapist” and have no practical basis, such as faster-than-light speeds.

Or perhaps, he deliberately left new challenges for the future, leaving the possibility that they may be possible with new theory of relativity.