#471: Using Mental Models to Make Better Decisions
The Art of Manliness7 Tammi 2019

#471: Using Mental Models to Make Better Decisions

We live in a complex, fast-changing world. Thriving in this world requires one to make fast decisions with incomplete information. But how do you do that without making too many mistakes?

My guest today argues that one key is stockpiling your cognitive toolbox with lots of “mental models.”

His name is Shane Parrish. He’s a former Canadian intelligence officer and the owner of the website Farnam Street, which publishes articles about better thinking and decision making and is read by Wall Street investors, Silicon Valley entrepreneurs, and leaders across domains. We begin our conversation discussing how Shane’s background as an intelligence officer got him thinking hard about hard thinking and why the musings of investors Warren Buffet and Charlie Munger have had a big influence on his approach to decision making.

Shane then shares his overarching decision making philosophy and explains what mental models are and why they’re a powerful tool to make better decisions. We then discuss why you should focus on being consistently not stupid instead of trying to be consistently brilliant and tactics you can use to make better decisions.

Get the show notes at aom.is/farnamstreet.

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