Warren Buffett: ROE, Owner Earnings, Profit Margins, & $1

Warren Buffett: ROE, Owner Earnings, Profit Margins, & $1

How does Warren Buffet determine whether a company is financially sound? What’s his “one-dollar test”? If you want to figure out whether a company is on solid financial ground, here’s what you need to evaluate, according to Warren Buffett: ROE (return on equity), owner earnings, profit margins, and the “one-dollar test.” Robert G. Hagstrom discusses Buffett’s analysis of these factors in The Warren Buffett Way. Continue reading to learn how Buffett assesses a company’s finances before deciding whether to invest in it.

What Is the Spillover Effect? Unintended Consequences of Scale

What Is the Spillover Effect? Unintended Consequences of Scale

What is the spillover effect? How does it impact your ability to scale an idea? In The Voltage Effect, economist and professor John A. List provides advice on how to figure out if a particular idea will scale. In order to do this effectively, you must understand the spillover effect, recognize it when it’s happening, and manage it well. Read more to learn how to deal with the unintended consequences of scaling your idea.

Why the Filibuster Should Be Abolished: It Fuels Polarization

Why the Filibuster Should Be Abolished: It Fuels Polarization

What’s the filibuster in the US Senate? Should the filibuster be abolished? In Why We’re Polarized, American progressive journalist, political commentator, and podcaster Ezra Klein explains why the filibuster should be abolished. He thinks the rule is abused and contributes to political polarization. Keep reading to understand why Klein believes it’s time for the filibuster to go and why not everyone agrees with his analysis.

Should You Follow Your Passion? A Tribe of Mentors Weighs In

Should You Follow Your Passion? A Tribe of Mentors Weighs In

Should you follow your passion? How important is it to have a career that excites you? Should your vocation be central to your identity? In Tribe of Mentors, Tim Ferriss shares input from experts in various fields to address these critical career questions. Together, their advice can help you think through the questions and settle on the answers that are the right ones for you and your path in life. Keep reading for insights on whether you should follow your passion.

“Blue Mind” Meaning: The Mental State That Water Creates

“Blue Mind” Meaning: The Mental State That Water Creates

What does “Blue Mind” mean? How is it different from “Red Mind”? What contributes to these mental states? When you feel serene sitting at the beach, watching the waves, you’re likely experiencing Blue Mind. In his book Blue Mind, Wallace J. Nichols argues that water has a profound impact on our well-being and health because it induces a calming, meditative state, which he calls the Blue Mind state. Read more to understand Blue Mind’s meaning and why such a phenomenon exists.

How to Be Persistent (Without Crossing the Line)

How to Be Persistent (Without Crossing the Line)

When does persistence go too far and become harassment? How might you be persistent in an appropriate and measured way? Alex Banayan wrote his book The Third Door to share what he learned from interviewing several wildly successful people about their paths toward getting ahead in life. In the process of writing it, he found that persistence (even his own) was important—and that it’s possible to take it too far. Read more to learn how to be persistent without crossing the line, with advice that Banayan learned from inventor Dean Kamen and boxer Sugar Ray Leonard.

What Philip Arthur Fisher Taught Warren Buffett About Investing

A manager trying to solve workplace issues with employees

Beyond its financial statements, what indicates a company’s health? How can you evaluate the subjective qualities of a company? If you learn investing from Warren Buffett, you indirectly learn a vital principle from Philip Arthur Fisher. Fisher taught that, when you consider whether to invest in a company, you must look beyond its quantitative factors; you must also assess its qualitative factors such as its potential and management. Keep reading to discover what Warren Buffett learned from Philip Arthur Fisher.

How to Control Costs as You Grow: Advice From an Economist

How to Control Costs as You Grow: Advice From an Economist

What causes runaway costs? How can you keep your costs from spiraling out of control as your business scales? Managing costs is vital as your organization grows. When scaling up, you can take certain precautions to stay on top of overhead costs and per-unit expenses and keep them at a level that allows for sustained profitability. Continue reading for tips from economist and professor John A. List on how to control costs over time.

Can Election Reform Be a Pathway Out of Political Polarization?

Can Election Reform Be a Pathway Out of Political Polarization?

Is there a connection between political polarization and the way America elects its officials? If so, what should be done about it? Progressive journalist, political commentator, and podcaster Ezra Klein says that, if done right, election reform can break up the push toward growing polarization. He proposes the replacement of the Electoral College by a direct popular vote for the presidency as well as the creation of multi-member districts. Keep reading to understand both of these proposals and what Klein hopes they’ll accomplish.

Your Path to Success Might Not Be the Traditional One

Your Path to Success Might Not Be the Traditional One

Is a low-risk path the right one for you? Would you take more risk if you had less to lose? Many people follow the traditional path to success—slowly ascending from one secure job to a slightly better-paying one. However, as recorded in Tribe of Mentors, some of Tim Ferriss’s experts note that constricting yourself to this path might keep you from building a career you’re passionate about. Continue reading for some advice that can help you figure out your path to success.