on…dollar empire to run。 I am not as sophisticated because my empire is smaller； yet we e from the same simple foundation。 In the following pages； I offer to you the same simple line drawings Mike's dad created for us。 Though simple； those drawings helped guide two little boys in building great sums of wealth on a solid and deep foundation。
Rule One。 You must know the difference between an asset and a liability； and buy assets。 If you want to be rich； this is all you need to know。 It is Rule No。 1。 It is the only rule。 This may sound absurdly simple； but most people have no idea how profound this rule is。 Most people struggle financially because they do not know the difference between an asset and a liability。
〃Rich people acquire assets。 The poor and middle class acquire liabilities； but they think they are assets〃
When rich dad explained this to Mike and me； we thought he was kidding。 Here we were； nearly teenagers and waiting for the secret to getting rich； and this was his answer。 It was so simple that we had to stop for a long time to think about it。
〃What is an asset？〃 asked Mike。
〃Don't worry right now；〃 said rich dad。 〃Just let the idea sink in。 If you can prehend the simplicity； your life will have a plan and be financially easy。 It is simple； that is why the idea is missed。〃
〃You mean all we need to know is and we'll be rich？〃 I asked。
Rich dad nodded his head。 〃It's that simple。〃
〃If it's that simple； how e e