Brad Feld: Why scientists and engineers, who know so much, make so little compared to VCs (or investment bankers, or trial lawyers) who know so little.


Time is Money



Knowledge is Power



Power = Work / Time (from high school physics)



If you substitute Knowledge for Power and Money for Time



Knowledge = Work / Money



Using a little basic algebra (about the amount most VCs remember) and arranging terms, you get



Money = Work / Knowledge



For a given amount of Work as Knowledge apporaches zero, Money becomes infinite.



This explains the difference in market value between scientists/engineers and VCs.



More here.

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