LongCut logo

The 3 Steps Of Building Wealth From Nothing Using Game Theory

By Prof Jiang Simplified

Summary

Topics Covered

  • Elite Control Money Creation
  • Rich Eliminate Competition
  • Meritocracy Hides Monopoly
  • Regulatory Capture Builds Monopolies
  • Secret Game Closed to Outsiders

Full Transcript

So, I'll point out three things that the truly wealthy do that are never discussed publicly. The first thing that

discussed publicly. The first thing that they do is they control the creation of money itself. In fact, the real elite

money itself. In fact, the real elite don't just earn money, they actually determine what becomes money and who gets to create it. And uh if you asked

before how the wealthy really got rich and their answers usually are they invested wisely, they worked hard.

That's not the real answer. Okay? The

wealthy don't compete in markets. They

create monopolies and cartels. You're

told that capitalism is about competition. But the actual rich spend

competition. But the actual rich spend all their energy eliminating competition, not participating in it.

And the third thing is that generational wealth comes from capturing legal privileges, not from merit or innovation. Uh specifically, the truly

innovation. Uh specifically, the truly wealthy families got rich by getting governments to give them exclusive rights, monopoly charters, and legal

protections that nobody else has access to. Right? They used political power to

to. Right? They used political power to rig the game permanently. But as we'll discuss, that's never mentioned in business school because the real game is

about power, not economics. You'd

understand wealth completely differently if you knew this. you'd see that every major fortune in history came from these three game strategies. Okay? This

behavior is deliberately concealed. If

you think about it, what you should really understand is that there's a secret game that only the elite know about. Because once you understand the

about. Because once you understand the secret game, and given the fact that it's been played the same way for centuries, you can actually see through all the lies. Okay? So, if you

understand the game, you're far better able to see reality. You're far more likely to understand why you're poor and they're rich. Okay? But instead, you

they're rich. Okay? But instead, you believe in meritocracy.

Um, competition doesn't make sense when the rich don't compete. Now, the most that regular people can hope for is maybe to start a small business if

they're really, really lucky. But,

they're not going to build dynastic wealth. they're not going to join the

wealth. they're not going to join the elite families. All right. So, the

elite families. All right. So, the

situation as it is, it's really corrupt where the game is completely rigged at a level most people can't even see. And

so, the question I want to look at today is what is this secret wealth game? How

has it been hidden throughout history?

And the answer I will show you is because if regular people understood this game, they would overthrow the system immediately.

Okay? The elite created this secret wealth game that has been carefully hidden throughout history in which only the inner circle plays today because if everyone knew the rules, the whole

system would collapse. Does that make sense? All right. So, first I want to go

sense? All right. So, first I want to go into some history and explain to you how we got to where we are. So, this is Europe in the late medieval period

around 1400 to 1500 CE. As you can see, most wealth was controlled by monarchs, the church, and a small number of noble families. Okay, so this was a world

families. Okay, so this was a world where wealth came from land ownership and political power, not from markets or merit. So how did certain families break

merit. So how did certain families break into this system? Okay, so the first thing you need to understand is that for most of history, the economy was

controlled by guilds, by feudal lords, by kings. People couldn't just start

by kings. People couldn't just start businesses. They needed permission,

businesses. They needed permission, licenses, charters from authorities. The

idea of free enterprise that didn't exist in any real sense. Okay? And at

this time in history, the main challenge was how to become wealthy when all the land was already owned and all the power was already held by existing elites.

Okay? And if you if you wanted to get rich, you couldn't just work hard or innovate. And at this point in history,

innovate. And at this point in history, uh, you needed to get the king or the church to give you special privileges.

You needed a monopoly charter.

But then a new opportunity emerged. The

age of exploration created new trade routes. And so suddenly there was

routes. And so suddenly there was enormous wealth to be made in long-d distanceance trade. Okay? And so now

distanceance trade. Okay? And so now certain merchant families had an opportunity. But they needed royal

opportunity. But they needed royal backing to exclude competition. They

needed to create a new kind of game. The

most valuable economic activity was long-d distanceance trade in luxury goods. If you controlled trade routes,

goods. If you controlled trade routes, you controlled everything. Okay, I'm

talking about spices, silk, precious metals. Okay, these commodities

metals. Okay, these commodities generated enormous profits. In fact, if you if you controlled a trade monopoly, well, you could become wealthier than kings, okay? you became one of the most

kings, okay? you became one of the most powerful forces in the world. That's how

valuable these monopolies were. And so

now the the emerging merchant class and ambitious families had a problem because they couldn't compete with each other without destroying profits. So they had

to discover a way to eliminate competition legally. And this is where

competition legally. And this is where it gets brilliant because um pure competition would destroy everyone's profits. So what happened? Well, what

profits. So what happened? Well, what

happened was that they started to create three specific strategies. Okay. So, um,

so now what's going to happen is you will have the emergence of chartered monopoly companies, central banking control, and legal privilege capture

mainly, okay? To to build permanent

mainly, okay? To to build permanent wealth that couldn't be competed away, right? So, how this was accomplished was

right? So, how this was accomplished was first the chartered monopoly company. So

the merchant families because they needed to eliminate competition decided to get the king to grant them exclusive trading rights. Okay. So but they needed

trading rights. Okay. So but they needed a legal structure. So what happened was they created joint stock companies with

royal charters, obtained monopoly rights to entire regions of trade, used state violence to enforce their monopolies, and shared profits with the crown to

maintain the arrangement. Second

strategy that was created was controlling the money supply. Okay. So

the merchants um had gotten monopolies but they needed even more power over the economy. Okay. Now the solution was to

economy. Okay. Now the solution was to control who creates money and how much exists because that's ultimate power, right? You could you could determine who

right? You could you could determine who gets loans and who doesn't. Um you could also inflate or deflate the currency.

Okay. And the reason why authorities allowed this is that kings needed to borrow money and the merchants could provide it if given control. So the

wealthy families had created a system where they literally controlled the creation of money itself.

Okay? So they just made themselves the gatekeepers of all finance. But the

third strategy that was used um was capturing legal privileges permanently.

Okay. So all this wealth was being generated from monopolies and money creation. And what the uh elite families

creation. And what the uh elite families realized is hey we need to make this permanent to pass it to our children to

embed it in law. So now the concept of hereditary corporate privilege was born.

Okay. And the most important aspect of this, of course, was that it was protected by the state and embedded in legal codes that couldn't easily be

changed. Okay? So, this was a system of

changed. Okay? So, this was a system of permanent advantage that made um certain families wealthy forever while preventing anyone else from using the

same strategies. So now you have this

same strategies. So now you have this new game where okay, you have regular commerce based on actual competition and it's being replaced by something completely different. And because of how

completely different. And because of how it's structured, this new system became uh incredibly profitable, self-perpetuating, and impenetrable or

the words we use are wealth extraction, dynastic power, and systemic corruption.

Okay, incredibly profitable just means that monopolies generate massive returns with no competition. Okay,

self-perpetuating just means that now the wealth creates more wealth automatically. The elite families design

automatically. The elite families design mechanisms that compound. So they

control money creation, hold monopoly charters, pass privileges to heirs.

Okay, they've created permanent advantage. The last thing is

advantage. The last thing is impenetrable, which basically means that outsiders cannot break into the game no matter how talented or hardworking. And

there's no way to compete with legal monopolies. And you don't really

monopolies. And you don't really understand that merit is completely irrelevant. So very quickly, even though

irrelevant. So very quickly, even though some families became unimaginably wealthy very fast, they also ensured no one else could replicate their success

because the system is designed to exclude everyone except the chosen few.

It requires state backing that isn't available to regular people. It punishes

anyone who tries to compete. Now and

what and because of this what's happening is that the uh wealthy families uh the banking dynasties especially the Medici the Fuggers and

later the Rothschilds they are becoming much more um powerful entrenched and untouchable. Okay. And now that you have

untouchable. Okay. And now that you have this wealth concentration what's going to happen is that the ideology is going to be created to hide it. Okay. So, um,

the old feudal system was based on obvious inherited privilege where everyone could see that nobles had advantages, but that was based on

bloodline and military power. And this

um, okay, so that's what the old system looked like. Now, the emerging

looked like. Now, the emerging capitalist system and its beneficiaries needed to hide this new form of privilege to make monopoly power seem

like merit. And so they developed new

like merit. And so they developed new stories or we call them the mythology of the self-made man and free market capitalism. So imagine so feudalism is

capitalism. So imagine so feudalism is really about accepting inherited hierarchy. But the new capitalist

hierarchy. But the new capitalist ideology insists on earned wealth on competition on the idea that anyone can

succeed. Okay. The problem though is

succeed. Okay. The problem though is that um people could see that certain families stayed wealthy for generations.

Many of them questioned how this was possible in a competitive system. But

most believed the propaganda. Okay. So

what's going to happen is that the elite families and the intellectuals they funded are going to decide to create an elaborate mythology. So I want to very

elaborate mythology. So I want to very quickly show you the difference between what people are told about wealth and what actually happens. But but the main thing you need to know is that billions

and billions of people believe a complete lie. In fact, people spend

complete lie. In fact, people spend their whole lives thinking they live in a competitive meritocracy when they actually live in a rigged monopoly

system. Okay? And so this creates

system. Okay? And so this creates acceptance of inequality because if you're told the wealthy earned it through merit, why would you question their power? Right? You you're a regular

their power? Right? You you're a regular person. You see billionaires with

person. You see billionaires with enormous wealth. It's really powerful

enormous wealth. It's really powerful because now the elite have wealth and power, but nobody understands how they got it. Okay? What this means is that

got it. Okay? What this means is that people won't challenge the system because they think it's fair. They'll

just try harder at strategies that can't create dynastic wealth. Okay, does that make sense? All right. So now, if you're

make sense? All right. So now, if you're a regular person, you believe the mythology completely. I live in a free

mythology completely. I live in a free market. The wealthy earn their position.

market. The wealthy earn their position.

I could theoretically become rich, too, if I work hard enough. Okay? And the

elite stay safe because unlike obvious aristocracy where people revolt, this system makes people accept inequality as deserved. It's impossible to challenge a

deserved. It's impossible to challenge a system when everyone thinks it's fair and based on merit. So now the question is why would regular people why would they believe these lies? Because

remember the elite obviously got rich through completely different methods than what they claim. Okay. So the way the way this works is you have some powerful mechanisms. You have constant

propaganda, right? And you have what we

propaganda, right? And you have what we call controlled education or the academic media complex. Because remember

both um both um regular people and the elite exist in the same society but learn completely different things about how it works. And the major force that

maintains these lies of course were were universities and mainstream media. But

during this time there was growing wealth inequality and the elite needed to prevent people from discovering the secret game as much as possible. Right?

Like if you study actual wealthy families and you see they all used monopoly charters, state backing, and financial control, they don't care.

They'll tell you those are exceptions or outdated examples. It's not the real

outdated examples. It's not the real pattern. Okay? If if it's and they

pattern. Okay? If if it's and they believe that modern capitalism is different and competitive. All right?

This story serves their interests and they will maintain it through universities and through prestigious academic positions and media platforms. Does that make sense? So now what's

going to happen is this. What's going to happen is that uh all competitors okay anyone who tries to enter the market are going to be blocked by law. The elite is

going to use state power to maintain exclusive control. So basically the

exclusive control. So basically the entire deal is the elite get permanent monopoly and everyone else is legally prevented from competing.

Okay. So basically the elite control an entire industry forever and and then anyone else who tries to compete gets arrested or destroyed. Okay. So very

quickly this enriched the elite families beyond measure. But not only uh sorry

beyond measure. But not only uh sorry this sorry this prevented anyone else from using the same strategy. Okay. But

not only that but you also have the second strategy as well and the same idea. The elite control the creation and

idea. The elite control the creation and supply of money itself to uh determine who gets capital and who doesn't. And

then everyone else must borrow from them at interest. Okay? And then the wealth

at interest. Okay? And then the wealth flows automatically to whoever controls money creation. The elite get richer

money creation. The elite get richer just by controlling the monetary system while everyone else pays interest forever. Now, the question is, how do

forever. Now, the question is, how do the elite actually maintain this game?

How do the elite create a situation where they're the only ones who can use these strategies? And the answer is the

these strategies? And the answer is the elite simply capture the state and write the laws themselves. Okay, so this is the way um this is what actually

happens. So this is how uh the secret

happens. So this is how uh the secret game really works. Okay, so let's look at the three strategies in more detail.

The elite had to execute these perfectly. Okay, the elite had to use

perfectly. Okay, the elite had to use state power while claiming to support free markets. The question then is how

free markets. The question then is how do they do this? Okay, and the answer is very simple. They use a very specific

very simple. They use a very specific mechanism called regulatory capture.

Okay. Before, if you were trying to get rich through competition and the official story said markets are free and open, you would face ruthless

competition and probably fail. But now,

if you understand the secret game, you can use government to eliminate all competition and create permanent monopoly. So now what's going to happen

monopoly. So now what's going to happen is that once you understand regulatory capture you can build monopoly power that can't be challenged. And let me

explain this mechanism in detail. The

first mechanism is of course um regulatory capture. Okay. So the elite

regulatory capture. Okay. So the elite don't want competition. They want to control the regulators who are supposed to prevent monopolies. This is what we

call the revolving door. Okay. So when

you capture regulatory agencies, not only do you prevent competition, but you make it look legal and proper. This is

the legitimization of monopoly. Okay?

But they'll never teach you this in business school. Through the education

business school. Through the education system, including economics departments and business programs, you're taught that regulations prevent monopolies. Who

cares that elites write the regulations?

But the elite understand this. They

understand that regulatory agencies can be captured. And then they staff these

be captured. And then they staff these agencies with their own people or people who want jobs at elite firms where the game becomes rigged from the inside. So

now you have regulators who approve mergers, allow monopolistic practices and block new competitors. Okay. All

right. So this is how the elite actually eliminate competition legally that makes it impossible for outsiders to compete.

Okay. It allows monopolies to exist with government blessing and creates the appearance of legitimate market outcomes. Does make sense? The second

outcomes. Does make sense? The second

thing that enables the secret game is control of central banking. Okay. So

what do I mean by that? The elite when they want ultimate power, what they do is control who creates money and how much exists. So they understand that

much exists. So they understand that whoever controls money creation controls everything, right? And when you control

everything, right? And when you control central banks, what what what happens?

You learn that money is created through lending. But when you understand this

lending. But when you understand this power, what do you do? You learn that the elite families literally own or control the central banks in most countries. Right? When you're

countries. Right? When you're

controlling money creation, you're learning about how the Federal Reserve works. You're learning how the Bank of

works. You're learning how the Bank of England was created. You're learning how money is debt created by private banks.

And as a result, you have unlimited power over the economy. And therefore,

you should try your best to understand that this is the ultimate secret knowledge. Okay? And also, what's really

knowledge. Okay? And also, what's really important is that central banking allows for infinite wealth extraction.

Okay? So, if you are trying to get rich through earning or investing, well, you're playing with money that already exists. But if you control money

exists. But if you control money creation itself, you have power over everything. Okay? You might even control

everything. Okay? You might even control nations.

So understanding how central banking really works, it's basically learning the most hidden part of the secret game.

Okay guys, but the idea is that throughout history, elite banking families have controlled central banks.

Okay? And their approach will be to keep this knowledge completely hidden from the public. And it works really well.

the public. And it works really well.

Okay, this is how the truly wealthy maintain power. And it it works really

maintain power. And it it works really well because remember, if you're trying to build wealth, you're competing for existing money because you don't know money creation is controlled by private

families. There's really no way to reach

families. There's really no way to reach elite levels without this knowledge.

Right? But if you're in the inner circle and you understand central banking and you know that money creation is the ultimate power, you have godlike control

over economies and then you benefit from creating money itself rather than earning it. Okay? And that's how the

earning it. Okay? And that's how the real elite maintain their position. And

the third thing of course is legal privilege capture. If you get laws

privilege capture. If you get laws passed that give you advantages nobody else has, you win permanently. Okay,

that's what happens when elites lobby for tax codes that favor them or intellectual property laws that create monopolies. There's nothing accidental

monopolies. There's nothing accidental about how laws are written. And so these three things, okay, regulatory capture, basically central banking control or the

idea of controlling money creation itself, controlling the money supply, okay, and the third thing is legal privilege embedded in law created really how all dynastic fortunes are built. So

as you can see the elite play the secret game. Okay. And this is why wealth

game. Okay. And this is why wealth concentration keeps increasing. And even

though they tell you about competition and merit what's important for us to understand is the elite do the exact opposite. Okay. So let let me give you

opposite. Okay. So let let me give you an example of this. This is how actual billionaires today maintain wealth.

Okay. And as you can see, they all use some combination of monopoly power, financial control, and regulatory capture. We're talking about tech

capture. We're talking about tech monopolies, banking dynasties, defense contractors with government connections.

There are specific patterns across all major fortunes. Okay? But what you need

major fortunes. Okay? But what you need you you need to understand is none of this would be possible without the secret game. Okay? Because like why do

secret game. Okay? Because like why do people still believe in competitive markets when monopolies are so obvious?

Because the propaganda is overwhelming and constant. Because the education

and constant. Because the education system never teaches the secret game.

But you can only see reality if you're willing to reject everything you've been taught. Okay? People only accept extreme

taught. Okay? People only accept extreme wealth concentration because they don't understand the secret game. But they

only stay ignorant of this game if the elite successfully hide it and if education and media never reveal it. So

what keeps people ignorant of course is the combination of deliberate deception and controlled information. Okay. So the

secret game is hidden through every institution in society. They've created

elaborate mythologies. They don't teach the real history and they will maintain this deception because revealing it would threaten their power. Okay, does

it make sense? The system requires that the secret game stays hidden. That's

essential to its survival. But the same pattern exists everywhere. Everywhere

you look, in every industry, in every country. Okay? And so really, the

country. Okay? And so really, the question is whether you'll keep believing the mythology or learn the secret game. So the choice is yours.

secret game. So the choice is yours.

It's a decision about what you're willing to see. Okay, so you can keep believing in meritocracy and competition, but this path leads to

never understanding why you can't build dynastic wealth because conventional explanations are designed to hide the truth. They tell you about hard work and

truth. They tell you about hard work and innovation while hiding monopoly and privilege. They serve the interests of

privilege. They serve the interests of those who want the secret game to stay hidden. Okay. And then you also have the

hidden. Okay. And then you also have the alternative path where you can learn the secret game, understand how elite families really built fortunes, see

through the mythology, you can recognize monopoly capture when you see it. Okay,

so yes, we can say that the mainstream narrative, it's a deliberate deception because it's designed to hide how wealth really works. But really what what's

really works. But really what what's happened is that those who know the secret game benefit enormously from others not knowing because this ignorance allows them to continue

playing it unopposed. Okay? And that's

why the secret game is so carefully hidden. So we are really at a choice

hidden. So we are really at a choice point, a moment where you either keep believing comfortable lies or accept uncomfortable truths. And you must

uncomfortable truths. And you must choose because staying ignorant serves elite interests, not yours. Okay. All

right. Any questions? Yeah. Okay. So, if

the secret game is real and it's been used throughout history, can regular people actually use these strategies today? And okay, this is a really um

today? And okay, this is a really um important question to answer. Okay, so

let me explain the brutal reality. Okay,

the first reality is this. The secret

game requires state power, right? What

makes it work is getting government to grant you monopolies, to let you control money creation, to write regulations in your favor. Okay? That's what makes the

your favor. Okay? That's what makes the secret game effective. The wealthiest

families in history tend to be those who captured state power, who got monopoly charters from kings, and who controlled central banking. So, how do how do

central banking. So, how do how do regular people actually do this when they have no political connections? They

can't. Okay? Meaning that um the secret game is secret precisely because it's not accessible to regular people. The

strategies only work if you have connections to power. Okay? Um and

attempting them without elite backing will fail or get you arrested. So the

secret game is genuinely closed to outsiders. Okay. So the brutal truth is

outsiders. Okay. So the brutal truth is the game is rigged and you're not invited. Then the question then is what

invited. Then the question then is what should regular people do with this knowledge? And the answer honestly is

knowledge? And the answer honestly is that you should understand it to see reality clearly. Not expecting you can

reality clearly. Not expecting you can replicate it. Okay? We're talking like

replicate it. Okay? We're talking like awareness of how you're being controlled, not access to the strategies. You have to accept that the

strategies. You have to accept that the secret game is for the elite only, even though it's deeply unfair and enraging.

Okay, does that make sense? So, in the long term, maybe things could change.

Maybe people could organize to break up monopolies. Maybe the monetary system

monopolies. Maybe the monetary system could be democratized. But in the short term, you live in a system where the secret game determines everything, even

though you can't play it yourself. Okay,

that's the reality of where we are because the elite have successfully closed the secret game to outsiders.

They maintain their privileges through state power. They've created a mythology

state power. They've created a mythology to hide what they're doing. Okay? And

that leaves regular people in a system they can't win as well because the game is rigged at the deepest level. Okay?

So, think of it as understanding why you're poor.

Think of people who work hard their entire lives and never build wealth where okay, they're confused why they can't get ahead and they blame themselves for not trying hard enough

and they don't realize the real game is secret to them and now they understand the truth but can't change their situation. Okay, do do you understand?

situation. Okay, do do you understand?

So, it's it's a really depressing reality in that understanding the secret game doesn't give you access to it. But

knowing the truth is still better than believing lies. Okay? If you understand

believing lies. Okay? If you understand how you're being controlled, you at least see reality. You stop blaming yourself. Okay? And what you can do is

yourself. Okay? And what you can do is uh spread this knowledge to others, right? So, what we should work toward is

right? So, what we should work toward is making the secret game visible to everyone. And it's important because if

everyone. And it's important because if enough people understand how they're being controlled, maybe the system can eventually change.

Loading...

Loading video analysis...