The Moving Base

Percentages look fixed but always ride on a base. A "10% raise" sounds the same to everyone, yet 10% of $30,000 is $3,000 while 10% of $300,000 is $30,000. The headline hides the base.

That shifting base is why a 50% gain followed by a 50% loss does not break even. Start with $100, gain 50% to reach $150, then lose 50% of that larger $150 — you land at just $75. Before you act on any percentage, ask what it is a percent of.