Building off of last weeks podcast Michael brings another dead guest on his show, Alan Watts. Watts is responsible for introducing eastern traditions to the West, i.e. Buddhism. He has been featured many times on the podcast. Is money the root of all evil? Is money the goal? Why are making mistakes so crucial to your life? Does money equal wealth? These are all topics that are discussed and answered on the podcast.
Before Michael plays a clip from Watts, he shares a story from his recent trip to California. Michael had lunch next to a table that was the quintessential example of money, wealth, and the stereotypes that live in Los Angeles. His opening story is food for thought as you listen to Watts and his wisdom.
In this episode of Trend Following Radio:
Relationship between guilt and gold
You don’t learn if you don’t make mistakes
Psychological attitude toward money
Money is just bookkeeping
Money as the circulation of information
Changing the psychological attitude toward money
The cost of paying income tax
“I wonder often if there is any relationship between guilt and gold.” – Alan Watts
Research participants who had spent just 15 minutes in “mindfulness” meditation, focusing on their breathing, were 77% more likely than others to resist what’s known as the “sunk-cost bias,” the tendency to stick with a less-than-optimal strategy merely because a lot of money has been sunk into it, says a team led by Andrew C. Hafenbrack of Insead business school in France. In a fictional scenario, the participants had to decide whether to buy a highly efficient $10,000 machine shortly after spending $200,000 on equipment that was much less efficient (and couldn’t be sold). Meditation’s impact on the sunk-cost bias may have to do with its ability to improve mood and decrease people’s focus on the future and past, the researchers suggest.
…predictions are a way of demonstrating knowledge. Of course, in most things, a successful demonstration involves being right. In golf, a good argument will suffice. Most compellingly, human beings are wired to predict. In ancient times predictions served as psychological counterweight to the extreme uncertainty of life. As we’ve gained more control over daily existence, predictions help encourage the illusion that we are in charge of our own destiny. The more that is unknown, the greater the urge to predict. As the recently departed futurist author Ray Bradbury once said, “Mysteries abound where most we seek for answers.”
If you can find yourself comfortable not trying to predict daily life (and trading) there is a nice reward for you.
Synopsis: Michael Covel speaks with Robert Greene, the bestselling author of the classic book, “The 48 Laws of Power“, in addition to other bestsellers such as “The Art of Seduction”, “The 33 Strategies of War”, and “The 50th Law” with musician and entrepreneur 50 Cent. His new book, “Mastery” is out. Covel and Greene came together through their mutual friend Ryan Holiday (author of “Trust Me, I’m Lying”), a past guest on Covel’s podcast and a former apprentice of Greene. Covel talks to Greene about the influence “The 48 Laws of Power” had on Covel’s own writing; using the 48 Laws as a defense strategy rather than as a cutthroat offense; some of Greene’s early influences that led him into his writing career; using Zen Buddhism and meditation as a tool to gain perspective and focus; the importance of using your unique life experiences in your career to create an irreplaceable style; and embracing opportunity. When “The 48 Laws of Power” unexpectedly pushed a button in the hip-hop community, Greene and musician 50 Cent began a collaboration that eventually became “The 50th Law”. Covel and Greene discuss the stories surrounding their collaboration, why 50 Cent should be taken seriously as an entrepreneur, and how he embodies the paradigm found within Greene’s new book, “Mastery”. On the subject of “Mastery”, Covel and Greene discuss how Greene mined the biographies of both contemporary masters and masters throughout history to discover how these people reached new levels and developed a different kind of intelligence. These people are highly creative, can connect ideas in a way that no one else can, and have become masters in their own respective fields. Greene made the startling discovery that genius, talent, luck, and intelligence did not lead his subjects to this power. Rather, they went through a process: They went through apprenticeships, mentored with the right people, knew how to observe what was happening around them, absorbed all of the rules of their field, developed skills, and had many failures. They aren’t superhuman. They went through a process that Greene discusses in extremely clear terms in his new book. Greene makes the case that given the competition in today’s world, becoming a master in your field is the only way to achieve true success. Special offer DVD: www.trendfollowing.com/win.
[Reggie Jackson] rarely failed in the biggest games, of course. Jackson hit .357 with a 1.212 OPS in 27 World Series games. “Pressure never bothered me,” he says. “I didn’t calm myself in those situations, I allowed myself to be calm. There’s a difference. I had an agent, Gary Walker, who used to say to me, ‘Get out of your own way. Don’t get in the way of your ability.’ And that’s what I did. I got an e-mail from a Universal Studios executive who was at the three-home-run game against the Dodgers. He said he remembers thinking that I had a relaxed sense of calmness at the plate in that game. A relaxed sense of calmness. I like that. That’s the place I was trying to find.”
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