The World's Best Book Summaries
What exactly is data? Can people and images be data? In Everybody Lies, Seth Stephen-Davidowitz says that new technology is allowing us to turn more things into data. He further explains how bodies and images can now be used as data. Keep reading to learn how everything is data.
What happens when you use data for unethical reasons? What are the drawbacks and dangers of big data? Even though Seth Stephens-Davidowitz is openly enthusiastic about data studies, he’s aware that data has drawbacks and limitations and can lead to great harm if used unethically. In Everybody Lies, he explores some cases where these dangers have come to pass. Read below for unethical use of data examples.
What is the future of population growth? How does population affect the economy? In Capital in the Twenty-First Century, Thomas Piketty says that population growth will likely slow in future decades. This means that production will slow down and the capital-to-income ratio will rise. Check out why the future of population growth is essential for the economy.
How much of life is random? What can be gained by accepting that randomness? You could understand anything in the world by learning a finite set of rules and patterns that apply to all aspects of life. That’s the premise of The Great Mental Models series of books from Farnham Street (FS), a website dedicated to timeless knowledge and insightful ideas. The Great Mental Models Volume 3 argues that we can benefit by accepting that most of life is random. The benefits include making better decisions, making fewer prediction errors, and enjoying more creativity. Keep reading to learn more about what
As you go through life, how clearly are you seeing things? Are you seeing them in their true and full context? You’ll stand the best chance of success if you have an accurate view of the world. Unfortunately, because each of us has a limited perspective, sometimes it’s hard to see the big picture—and easy to misinterpret some situations as a result. The Great Mental Models Volume 3 argues that understanding distributions—a model drawn from mathematics—can help us see the big picture more clearly. The basic idea is that, by thinking statistically, you’ll have a clearer context for the things
What is fundamental analysis in trading? Is it possible to predict the market based solely on what fundamental analysis says? Fundamental analysis predicts what the market will do based solely on what mathematical models say is logical. However, traders’ behavior is far from logical, which is why fundamental analysis alone is not enough to predict what happens in the market. Here’s why you can’t predict the market based on fundamental analysis alone.
What is the power law? How should it influence your planning? The power law is an exponential growth pattern that illustrates how power or size is distributed. The principle has particular application for startups and venture capital, and it can inform investing in general. Keep reading to learn about the power law and how it applies to business and investing.
What did Stephen Hawking say about aliens in his book Brief Answers to the Big Questions? Did Hawking believe in the existence of extraterrestrials? According to famed theoretical physicist Stephen Hawking, aliens most likely exist, but there’s a good chance humanity will never encounter them. This is because Hawking believed that extraterrestrial life is likely unintelligent and lacks the technology to communicate with others. Here’s an in-depth look at Stephen Hawking’s theories about aliens.
What is the ten-thousand-hour rule? Who first came up with the rule, and what is the research behind it? The ten-thousand-hour rule basically says that you need to practice a skill for at least ten thousand hours before you can be considered an expert. After Malcolm Gladwell published these findings in his book Outliers, there have been a number of criticisms. Here’s why the ten-thousand-hour rule doesn’t hold up.
What is the neglect of probability bias? Do you consider the probabilities of possible outcomes when making decisions? Neglect of probability bias is the tendency to disregard probability or risk when making decisions in the face of uncertainty. The most optimal choice is the one that has the highest probability of turning out well, but people tend to opt for the option that will have the biggest positive impact if it occurs, regardless of how likely it is. Here’s why we tend to neglect probability when making decisions.