Financial Lessons from the Game of Basketball
Financial Lessons from the Game of Basketball
Defense wins championships.
You’ve heard the adage. Coaches, players, announcers, fans, and pretty much everyone involved in team sports believes that defense wins championships.
And it makes sense.
If you can stop the other team from scoring it stands to reason that you’ll have a good shot at winning the game.
While you’ve probably heard the adage used in many sports, you probably hear it used most often in reference to basketball, especially the National Basketball Association (NBA).
So, what does this have to do with personal finance?
Glad you asked.
Let’s delve into financial lessons from the game of basketball.
Offense or Defense?
The game of basketball can be broken down into two basic elements: offense and defense.
The same is true of personal finance, with the equivalent elements of personal finance being income and spending. More specifically, increasing your income or decreasing your spending.
Like the competing elements of offense and defense in basketball, you can make financial progress by increasing your income and/or decreasing your spending.
You need both to succeed, but which is better for winning the game?
The personal finance community is somewhat torn on which element is most important for financial success. Some advocate that increasing your income (offense) is most important because there’s unlimited potential. Others feel that decreasing your spending (defense) is most critical to reduce debt and live within your means no matter your income.
The jury is still out on whether income or spending is more important, but what about basketball? Does defense really win championships?
Does Defense Really Win Championships?
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