Complete Guide To: Fooled By Randomness

By Sapiens Library

COMPLETE GUIDE TO: FOOLED BY RANDOMNESS

 

MAIN THEORIES, CONCEPTS AND METHODS

 

You will learn the answers to the following questions based on the bestseller theories, concepts and ideas:

 

Do We Sometimes Confuse Luck And Chance With Skill And Determinism?

Can We Be Sure That A Theory Is Correct, Or Do Things Change Constantly And We Could Be Wrong?

Is Life Unfair And Non-Linear, In Which The Best Do Not Always Win?

Is It The Context That Conditions Our Reasoning, Depending On Simple Heuristics?

Can Emotions Help Us Make Decisions And Also Overwhelm Our Rational Capacity?

In Retrospect, Do We Always Find Explanations In Past Events, But They Are Mostly Useless For Predicting The Future?

Are We Essentially Poor At Understanding The Impact Of Strange Events?

Should One Enjoy Harmless Randomness And Use Stoicism To Control The Harmful Ones?

Is It Worth Listening To The Random Noise In Both The Media And The Stock Markets?

 

ABOUT THE BOOK

The majority of the time, we are all affected by the same thing, which is that we are susceptible to being tricked by randomness. As a result, we tend to minimize the role that luck and chance play in our lives. We employ terms like "skills" and "determinism" when "luck" and "randomness" are required. This gap is nowhere else more evident than in the stock market, where the term "able investor" should typically be substituted with "fortunate fool." There is no other area where this divergence is more apparent.

• Language: English
• Publisher: Publishdrive
• Release date: Nov 22, 2022

Book preview

INTRODUCTION

The collection of writings that make up Fooled by Randomness (2001) examines the influence that chance has on several aspects of life, including the financial markets. The author illustrates the pervasiveness of chance in the universe by drawing from a variety of disciplines, including statistics, psychology, and philosophical thought.

Nassim Nicholas Taleb is a scholar, author, and investor who has devoted his whole life to gaining a deeper comprehension of the interplaying roles that chance, uncertainty, and knowledge play in our lives. His most recent publication, The Black Swan, is likewise considered to be a top seller, and he is regarded as one of the most brilliant minds on the face of the earth.

This book, Fooled by Randomness, was created in part by the author based on his personal experiences and interactions while working as a stockbroker on Wall Street.

Taleb was born in Lebanon in 1960, and he spent the first 18 years of his professional life in the United States working as a futures trader for companies like as UBS, CS-First Boston, BNP-Paribas, and others. Because of what he gained, he is now financially independent and free to dedicate himself to the activities that he enjoys most, which include reading, thinking, and writing. His resume highlights his extensive education, which includes a Master of Business Administration degree from Wharton and a Doctor of Philosophy degree from the University of Paris.

LESSON 01:

DO WE SOMETIMES CONFUSE LUCK AND CHANCE WITH SKILL AND DETERMINISM?

The majority of the time, we are all affected by the same thing, which is that we are susceptible to being tricked by randomness. As a result, we tend to minimize the role that luck and chance play in our lives. We employ terms like skills and determinism when luck and randomness are required. This gap is nowhere else more evident than in the stock