valueandprices
Charlie Munger

Mental models improves creativity

“Talking about breaking mind-sets, or creativity, or even just openness to new information is really talking about spinning new links and new paths through the web of memory. New ideas result from association of old elements in new combinations. Previously remote elements of thought suddenly become associated in a new and useful combination. When the linkage is made, the […]

Charlie munger
Charlie Munger

Charlie munger

Charlie munger If you stop to think about it, a pari-mutual system is a market. Everybody goes there and bets and the odds chance on what’s bet. That’s what happens in the stock market. Learn Continuously:  Read, Read, Read  “You don’t have to pee on an electric fence to learn not to do it” said […]

valueandprices
Charlie Munger

Curiosity Tendency Bias

Curiosity Tendency Bias – Number 6 Many things in life involve tradeoffs.  A source of what is good in life can be a source of what is bad in life. That inevitable tradeoff applies to curiosity-and there is nothing like failure and mistakes to teach a person the right approach to curiosity. The wise investor will […]

valueandprices
Charlie Munger

Mental Models by Charlie Munger

Simplify Complexity to Better Impact the World There is immense complexity around us that we intuitively take for granted. We don’t generally consider the fact that any situation that occurs is a product of billions and billions of different variables that come together to produce a sum. We just see the surface-level result. Naturally, if you […]

valueandprices
Charlie Munger

Mental Models and Techniques

So let’s briefly review what kind of models and techniques constitute this basic knowledge that everybody has to have before they proceed to being really good at a narrow art like stock picking. First there’s mathematics. Obviously, you’ve got to be able to handle numbers and quantities—basic arithmetic. And the great useful model, after compound […]

valueandprices
Charlie Munger

Three Rules for a Career by Charlie Munger

Since your academic structure by and large, doesn’t encourage minds jumping  jurisdictional boundaries, you’re at a disadvantage because, in that one sense, even  though academia’s very useful to you, you’ve been mistaught. So if our professors won’t give you an appropriate multidisciplinary approach –  if each wants to overuse his own models and under use the […]

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