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It’s not a book, but I revisit Munger’s Psychology of Human Misjudgment nearly every year to remind me of the various biases that we are all susceptible to and
by eigenvalue 4y ago
It’s not a book, but I revisit Munger’s Psychology of Human Misjudgment nearly every year to remind me of the various biases that we are all susceptible to and to hopefully keep them at bay as much as possible. Link:
https://static1.squarespace.com/static/5ca3e714d74562b554c38604/t/5caa07a9971a182374badc19/1554646956708/Psychology+of+Human+Misjudgment.pdf https://static1.squarespace.com/static/5ca3e714d74562b554c38...
- microjim 4y agoThis sounds great, but isn't this - > hopefully keep them at bay as much as possible ...wishful thinking, or symptom management, rather than cutting at the root of the issue (less than rational thinking)? Would be happy to be corrected here.
- eigenvalue 4y agoBasically, it’s remembering to take a step back when thinking through a thorny problem, be it interpersonal, business, or technical, and asking yourself “are one of the big biases at work here?”. It has also informed some of my work habits. For example, I’m less likely now to share investment ideas with more than a couple close associates so that I’m less likely to suffer from commitment and consistency bias.
- gofreddygo 4y agoI recently got hooked onto Munger and his thoughts. Fascinating. Read this and heard his speeches, took detailed notes and am going through berkshire's annual meeting recordings since 1994 and it's surprising how many of these concepts reflect in warren and charlie's decisions, answers and thought processes. I'm going to be spending more time on this.