I spent many hours researching who the top mental model experts are in the world, what their top mental models are, and then collating these into a master list. Each model is categorized and includes a description.
CHARLIE MUNGER TOP 25 COGNITIVE BIASES
We humans have evolved over tens of thousands of years in an environment that is very different than the one we live in now. During this evolution process, we developed unconscious biases, which helped us survive in those tough environments, but can hinder us in today’s modern society. By recognizing those biases and applying them to our decision-making, we can make infinitely better decisions. Over his 70-year career, Charlie Munger (Warren Buffett’s long-time business partner) has done exactly this. The end result is the biases in this report. The biases are excerpted and condensed from several of Munger’s speeches. We also provided more context for each one to make it more digestible.
MULTIPLE DEFINITIONS OF MODELS
Have you ever heard the story of seven blind men feeling an elephant and coming up with completely different descriptions of the elephant based on the part they were touching? For example, one man holds a tusk and describes that. The other man holds its tail and describes that. Another its ears, and so on. The best way to understand the elephant is to listen to ALL seven men. Mental models are the same. Mental models are used by many different people in different ways, and each perspective has value. So, I pulled together the best definitions so that you get the deepest understanding.
HOW TO GET VALUE OUT OF MENTAL MODELS
Mental models are different than hacks. With a hack or habit, you can take it and easily use it right away in a specific context. Mental models are great because they can work in any context. For example, one mental model like the 80/20 rule, literally has hundreds of high-power hacks in different domains and contexts. The challenge is that you need to find those hacks. In this lesson, I show you how.
HOW TO CREATE A CHECKLIST
The power of mental models comes doesn't come from knowing them. It comes from applying them consistently when making decisions. As I spoke about in the article, How One Life Hack From A Self-Made Billionaire Leads To Exceptional Success, part of Munger's genius is that he uses checklists to stay consistent. We combed the web and several books to find the best resources on how to create an effective checklist and turned it into a report.
WHAT’S THE CATCH?
There isn’t one. I love building relationships with people, and I think one of the best ways to start a relationship is by giving.