By Charlie Munger
If all you succeed in doing in life is getting rich by buying little pieces of paper, it’s a failed life. Life is more than being shrewd in wealth accumulation.
A lot of success in life & business comes from knowing what you want to avoid.
Develop good mental habits. Avoid evil, particularly if they’re attractive members of the opposite sex.
If your new behaviour earns you a little temporary unpopularity with your peer group, then the hell with them.
Beware of Envy
The idea of caring that someone is making money faster (than you are) is one of the deadly sin. Envy is a really stupid sin because it’s the only one you could never possibly have any fun at. There’s a lot of pain & no fun. Why would you want to get on that trolley?
How to Get Rich
Spend each day trying to be little wiser than you were when you woke up. Discharge your duties faithfully. Step by step you get ahead, but not necessarily in fast spurts. But you build discipline by preparing for fast spurts.
The Importance of Reading
In my whole life, I have known no wise people who didn’t read all the time. You’d be amazed at how much Warren reads.
I think when you’re trying to teach the great concepts that work; it helps to tie them into the lives & personalities of the people who developed them. I think you learn economics better if you make Adam Smith your friend. That sounds funny, making friends among the eminent dead, but if you go through life making friends with the eminent dead who had right ideas, I think it will work better in life & work better in education. It’s way better than just being given the basic concepts.
Reduce Material Needs
Most people will see declining returns (due to inflation). One of the great defences if you’re worried about inflation is not to have a lot of silly needs in your life. You don’t need a lot of material goods.
Once you get into debt, it’s hell to get out. Don’t let credit card debt carry over. You can’t get ahead paying 18%.
The Decline of Public Schools
You could argue that (the decline of public schools) is one of the major disasters in our lifetime. We took one of the greatest successes in the history of earth & turned it into one of the greatest disasters in the history of the earth.