The pareto’s principle

20%:

exercise routine produces 80% of results

products generate 80% of revenue

employees create 80% of results

industries contribute 80% of GDP

stocks generate 80% of the returns

traders make 80% of profits

The pareto principle is universal.

the number is not important and can vary, but the model is of great value.

key idea —> leverage

time is scarce, focus on the most essential 20% to get 80% of the results.

identify points of leverage, where minimal effort yields maximum results.

we need to increase the marginal utility of anything we do.

that’s that.

fin.