Credit Rating and Required Rate of Return: Suppose you and Warren Buffett borrow money from a bank. The bank will assess your credit ratings differently. Maybe the bank could offer Warren Buffett a loan without interest since it can be advertised as a bank used by the renowned investor. However, it will likely charge you interest because you have a lower credit rating and less fame than Warren Buffett. The interest rate each borrower faces, based on their creditworthiness, is called the required rate of return for creditors. Under the same conditions, the cost of poverty is much higher for the poor than for the rich. Poverty inherently involves costs. - Joseph’s “just my thoughts”
Wine contains "polyphenols," which are antioxidants, but it also includes ethyl alcohol, which is a Class 1 carcinogen according to the World Health Organization. Wine sellers emphasize "polyphenols" for their benefit. Nutritional supplements, such as vitamins, are marketed by highlighting their benefits. The explanation is very appealing. But let's look at it this way. We'd laugh if the function of a car were redundantly described as "saving people from heart disease," "promoting tourism," or "robbing banks" instead of simply "moving people around quickly". Beyond the idea of trying to sell something unreasonable with all sorts of health claims without knowing exactly what they are, there is the hidden deception of fooling others or being fooled by oneself, and greed. - Joseph’s “just my thoughts”