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Knuth on money and dropping out of graduate school

Then in the middle of graduate school I was offered to drop out of college and write compilers for a living at an annual salary of $100,000 in 1962 dollars. That would correspond to about $10,000,000 a year now or something like that, not quite as much as a CEO — but anyway

I was offered, leave graduate school and get rich, and

I decided, you know, I really wanted to spend my life not maximizing the total amount of money that I got.

I wanted to do things that were interesting to me, that I thought would be useful to others.

And I found that money was a threshold function.

If you don’t have enough of it, you need it; but after that point, then it’s just a problem because you really have to enjoy having money and figuring out what to do with it responsibly, which is something that I never wanted to do.

( 8 comments | 18 points | on HN )
Re:Knuth on money and dropping out of graduate school by dhathorn on Tuesday May 03, 2011 @02:07AM (#2509151)
According to the inflation calculator: http://www.westegg.com/inflation/infl.cgi $100,000 1962 dollars is $712000 2010 dollars. A lot of money, for sure, but not 10 million.
Re:Knuth on money and dropping out of graduate school by jgamman on Tuesday May 03, 2011 @04:07AM (#2509340)
I think that was sarcasm - perhaps a 'basinga' would help?
Re:Knuth on money and dropping out of graduate school by alderssc on Tuesday May 03, 2011 @02:35AM (#2509204)
Knuth's observation on money appears to be explained by the economic 'law' of diminishing marginal utility.
Re:Knuth on money and dropping out of graduate school by zem on Tuesday May 03, 2011 @07:39AM (#2509580)
why the scare quotes around "law"? it's a universal enough facet of human psychology that the word seems perfectly applicable.
Re:Knuth on money and dropping out of graduate school by CyberFonic on Tuesday May 03, 2011 @02:27AM (#2509180)
The cost of living wasn't as crazy in 1962 as it is shaping up for 2012. Fifty years can make a heck of big change in lifestyle expectations and costs.
Re:Knuth on money and dropping out of graduate school by nandemo on Tuesday May 03, 2011 @02:28AM (#2509183)
Sounds unplausible. Source?
Re:Knuth on money and dropping out of graduate school by gsivil on Tuesday May 03, 2011 @02:38AM (#2509211)
Re:Knuth on money and dropping out of graduate school by nandemo on Tuesday May 03, 2011 @05:38AM (#2509449)
Thank you. I find it surprising that one (even Knuth) could get such a high salary for programming back then.