#economy #economic
Created at 2023-01-12
# [Anonymous feedback](https://www.admonymous.co/louis030195)
# [[Epistemic status]]
#shower-thought
Last modified date: 2023-01-12
Commit: 0
# Related
- [[Compound attention]]
- [[Business/Entrepreneurship/Finance]]
- [[Philosophy/Humans/Labor is an inefficient way to earn wealth]]
- [[Compound relationship]]
- [[Compound Knowledge]]
# TODO
> [!TODO] TODO
# Compound interest
Compound interest is interest that is calculated based on the initial principal and the accumulated interest of previous periods. It is a powerful tool that allows investors to earn a larger return by reinvesting interest earned over time. Compound interest can be calculated with a formula that includes the principal, the rate of interest, and the number of time periods. The effects of compound interest are especially powerful over long periods of time, allowing investors to enjoy larger returns on their investments.