There’s an over-allocation of talent in finance and law, Elon Musk

Billionaire and CEO of Tesla Elon Musk recently went in the Joe Rogan podcast that aired Thursday and said that people should consider focusing on innovation more and stop going for law and finance carriers this much.

“In the United States especially, there’s an over-allocation of talent in finance and law. Basically, too many smart people go into finance and law,” Musk said.

Rogan later asked him whether people see him differently just because he is a billionaire, Musk said yes.
“In recent years, billionaire has become a pejorative, like that’s become a bad thing, which I don’t think makes a lot of sense in most cases,” Musk said.

Musk went on to point out the difference between people who have grown rich due to innovation and building a business form those that are rich from other means like Investment banking and others.

“If you organize people in a better way, to produce products and services that are better than what existed before and you have some ownership in that company, that essentially gives you the right to allocate more capital.”

“So this is both a compliment and a criticism,” Musk added. “We should have fewer people doing law and fewer people doing finance and more people making stuff.”

Musk also has been donating a lot. Musk also defended the people owning a company by saying that there has been a shift in people’s perception of those who manufacture stuff. “Making a car is an honest day’s living, that’s for sure, Musk added.

Musk also addressed the tweet he recently made that caught everyone’s attention where he tweeted , “I am selling almost all physical possessions. Will own no house.”

“I have a bunch of houses, but I don’t spend a lot of time in most of them. That doesn’t seem like a good use of assets. Somebody could probably be enjoying those houses and get better use of them than me.”