Why 1% Better Isn’t Enough

I spent five years as a digital “slow-mad.”

Slow-mad (n): Like a nomad, but slower. Living in places for months, not days/weeks.

My energy was consumed by the administrative overhead of living.

  • Finding new apartments
  • Deciding where to eat
  • Finding workspaces
  • Picking new gyms
  • Setting up wifi

This is the Red Queen Effect.

In Alice in Wonderland, the Red Queen tells Alice:

“It takes all the running you can do, to keep in the same place.”

The irony? I was moving to new places. But I was running fast just to maintain stability.

When investing, if your return is 4% but inflation is 5%, you are losing buying power.

You have to meet the hurdle rate just to break even.

Entropy is the natural tendency for things to fall apart.

  1. Relationships decay if you don’t nurture them.
  2. Muscles atrophy if you don’t train them.
  3. Teams drift if you don’t align them.

You must pay a maintenance tax just to stay exactly where you are.

We love the idea of “1% better every day.”

But in the real world, entropy charges interest.

If your relationship decays by 2% a day from natural conflict and you improve it by 1% a day (date night), your relationship is still dying.

It’s just dying 1% slower than before.

You only get “1% better” after you’ve paid the hurdle rate.

🏃‍♂️

Are you doing enough work to clear the hurdle rate?