The Morgan Housel Podcast

Different Kinds of BS

100 snips
Jul 25, 2024
Explore the complex landscape of success and luck, revealing how subtle choices shape our lives. Discover the various forms of BS that distort our understanding, especially in finance. Delve into the hidden costs of desire, challenging the belief that wealth and success equate to happiness. The discussion emphasizes the nuances of human behavior, illuminating the subtle impacts of societal expectations and personal aspirations.
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INSIGHT

Defining BS

  • BS is defined as obviously wrong statements or implications that people accept as truth.
  • It's pervasive, influential, and dangerous due to its deceptive blend of truth and falsehood.
INSIGHT

Stock Price Prophecy

  • Predicting specific stock prices is essentially prophecy, not prediction, as it relies on unknowable future moods.
  • Stock valuation involves multiplying present data by narratives about the future, which are inherently unpredictable.
INSIGHT

Hidden Costs

  • Evaluate potential rewards alongside their associated costs, which often include stress, anxiety, and uncertainty.
  • Ignoring these hidden costs can lead to significant disappointment.
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