If you want to guarantee yourself a life of misery, marry somebody with the idea of changing them - Peter Bevelin

• Behaviour is shaped by our state of mind, which is a function of our life experiences and specific situation.
• What we think happens to us is what counts.
• Cooperation leads to trust, especially amongst relatives
• Assume people will act in their self-interest
• Don’t blindly imitate/trust others – think rationally and form your own opinions
• You can learn to make fewer mistakes and fix them faster, and learn to handle them better. Sometimes you have to quit while holding a much loved hand.
• Reputation, reciprocation and fairness are big human motivators.
• Assume people will act in their self-interest and don’t blindly imitate/trust others.
• We may still do dumb things in the future even if it causes pain because:
• We don’t understand the cause.

• Two track analysis : What are the factors that govern the interests involved, and what are the subconscious influences where the brain is automatically doing things, what could be causing psychological misjudgments.
• Take all the main models from psychology and use them as a checklist in reviewing outcomes. And you must pay special attention to combinatorial lollapalooza effects.
• Past experiences are often context dependent. Just because some stimulus caused you earlier pain, doesn’t mean that is still the case today
• Create a negative emotion if you want to end a certain behavior
• Good consequences don’t necessarily mean you made a good decision and bad consequences don’t necessarily mean you made a bad one
• Frequent rewards, even if smaller, feels better than one large reward
• Munger looks for a handful of things in people – integrity, intelligence, experience and dedication

• Recognize your limits. How well do you know what you don’t know/ Don’t let your ego determine what you should do
• Bad news that is true is better than good news that is false
• People associate being wrong as a threat to their self-interest
• Other behaviour is more painful.
• Create a negative emotion if you want to end a certain behaviour.
• You get what you reward for. Incentives reinforce behaviour.
• Changing behaviour: praise > punishment.
• Convince people by asking questions that illuminate consequences. Let them figure out the result themselves.
• Change people by appealing to their interests, not your own.
• How we value things depends on what we compare them with.
• People believe we have the same personality as those we associate with.
• Deal only with great people and you will avoid 99% of life’s headaches

• The majority of people would rather be wrong in a group than right in isolation.
• Our need for making sense makes us even believe in nonsense.
• Explain the why to others to increase the likelihood they comply.
• Don’t confuse activity with results. There is no reason to do a good job with something you shouldn’t do in the first place.
• The answers we get depend on the questions we ask.
• Our behaviour can be influenced by the expectations of others.
• Systems adjust in response to feedback and are constrained by their weakest link.
• Invest a lot of time into researching and understanding your mistakes.
• Do postmortems: see below for specific questions.
• Create one sentence explanations for big ideas.
• If something is too hard, move on to something simpler. Make problems easier to solve by removing everything except the essentials.
• Deal with the situations in life by knowing what to avoid. Reducing mistakes by learning what areas, situations and people to avoid is often a better use of time than seeking out new ways of succeeding.

• How can we make the right decision if we don’t know what we want to achieve?
• Always ask: And then what?
• Have role models early on. Changing behaviour becomes more difficult later on.
• There is a certain natural tendency to overlook anything that is simple and important.
• Avoid drugs, envy, resentment, being unreliable, not learning from other’s mistakes, not learning from the best work done before yours, giving up, not looking at problems from different points of view, only reading/paying attention to information that confirms your own beliefs
• Be objective
• “Disraeli…learned to give up vengeance as a motivation for action, but he did retain some outlet for resentment by putting the names of people who wronged him on a piece of paper in a drawer. Then, from time to time, he reviewed these names and took pleasure in nothing the way the world had taken his enemies down without his assistance.”
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            This book is a treasure trove of knowledge that need to be revisit again and again to fully grasp everything.The most important thing I learned is that getting better at making good choices and avoiding bad ones is the key to improving our lives. This book is like a valuable toolkit for improving how we think, and I highly recommend it.

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Reasons to read it:

• The book provides numerous real-life examples, especially featuring Warren Buffett and Charlie Munger, which illustrate important principles of decision-making and critical thinking.The book guides you to find a sense of calm within yourself, which can be incredibly useful in our fast-paced lives.
• The books delves into human psychology, heuristics, instincts, and cognitive biases, helping you gain a deeper understanding of how your mind works.
• The book serves as a comprehensive resource for improving your thought processes and decision-making skills.
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Reasons to skip it:

• If you're not interested in understanding how the human mind works or improving decision-making, the book may not align with your interests.