Insight: Charlie Munger noted that the world is not driven by greed, but by envy - social comparison bias.
"The first rule of a happy life is low expectations. If you have unrealistic expectations you’re going to be miserable your whole life. You want to have reasonable expectations and take life’s results, good and bad, as they happen with a certain amount of stoicism."- Charlie Munger
Insight: Happiness is the difference between our expectations and reality.
Principle: Lower your expectations.
Insight: Charlie Munger gave a talk in the 1990s called "The Psychology of Human Misjudgment" where his listed 25 biases that lead to poor decision making. He described the "Doubt-Avoidance Tendency":
"The brain of man is programmed with a tendency to quickly remove doubt by reaching some decision. It is easy to see how evolution would make animals, over the eons, drift toward such quick elimination of doubt. After all, the one thing that is surely counterproductive for a prey animal that is threatened by a predator is to take a long time in deciding what to do."- Charlie Munger
"The safest way to try to get what you want is to try to deserve what you want. It’s such a simple idea. It’s the golden rule. You want to deliver to the world what you would buy if you were on the other end."- Charlie Munger