Loss Aversion: Staying in Unfulfilling Situations

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Loss aversion, as described by Daniel Kahneman, suggests that humans feel the pain of loss more intensely than the pleasure of gain. This means that to make a change, the potential gain needs to be two to three times bigger than the possible loss. This phenomenon contributes to people staying in unfulfilling situations, as the new option must appear significantly better to justify leaving. This behavior is rooted in our evolutionary history of trading, where there was a risk of not receiving an equal trade. Ultimately, this aversion to loss can hinder individuals from pursuing better opportunities that could serve them well.

Life is getting faster and more hectic than ever before, but is there way to become unstressable?

Mo Gawdat is the former Chief Business Officer for Google X, the founder of ‘One Billion Happy’ foundation, and co-founder of ‘Unstressable’. He is the bestselling author of books such as, ‘Solve for Happy’, ‘Scary Smart’, and ‘That Little Voice in Your Head’.

In this conversation Mo and Steven discuss topics such as, why this is the most stressful time for any generation, how most people won’t recognise the world in 5 years time, and how stress is the new pandemic.

00:00 Intro

02:01 Mo How Are You Doing?

07:08 Mo's New Book & The State Of The World

12:31 The Speed Of The World

17:14 Stress Is The New Addiction

26:41 Will I Lose Productivity Without Stress?

31:06 What is TONN? The Origin Of Stress

36:07 Upsetting People With Change & Choosing To Put Ourselves First

43:31 What Is Loss Aversion?

50:43 The Noise Of Stress

01:01:38 How Do We Spot Our Own Stress?

01:04:49 Are We Really Too Busy?