#702: Morgan Housel — Contrarian Money and Writing Advice, Three Simple Goals to Guide Your Life, Journaling Prompts, Choosing the Right Game to Play, Must-Read Books, and More | TED Radio Hour

Intro

In this episode of the TED Radio Hour, Morgan Housel shares his insights on contrarian money and writing advice, three simple goals to guide your life, journaling prompts, choosing the right game to play, must-read books, and more. He discusses the importance of focusing on what doesn’t change, the psychology of human behavior, and the impact of money on relationships and philanthropy. Join host Guy Raz as he explores these fascinating topics with Morgan Housel.

Main Takeaways

Contrarian Money and Writing Advice

• Warren Buffett’s success is based on betting on things that stay the same forever
• People are bad at predicting the future because they focus on what’s going to change
• Focusing on what’s not going to change can lead to a better understanding of the future
• Human behavior that has never changed can be a good focus for predicting the future
• Good writing is easy, bad writing is hard
• Writer’s block often means the idea is not good enough
• Only write a book when you can’t sleep until you get the ideas on paper
• Writing should come from a place of passion, not obligation

Money and Relationships

• Athletes going bankrupt is a common issue due to social debt, feeling obligated to help family and friends
• Inner city poverty can lead to a different mindset when it comes to money
• The Vanderbilt family’s $400 billion fortune led to downstream misery for their heirs
• The unnamed family made their money ethically and intentionally kept a low profile
• Parents should avoid babying their children and instead encourage them to learn on their own
• Some ultra high net worth individuals are hesitant to donate to philanthropic causes due to the desire to protect their wealth for their children
• The book “Die With Zero” suggests giving children money when they need it in their 30s and 40s instead of waiting until death

Contentment and Happiness

• Money may not always make you happier
• If you’re already happy, gaining more money may make you happier
• If you’re already depressed, gaining more money may not help much
• Money doesn’t fix everything
• Money can buy contentment, not happiness
• Contentment is waking up with low or no anxiety and being satisfied with career, relationships, and home
• Money can reduce the number of sad days, but not increase the number of happy days

Writing and Podcasting

• Comedians are practical philosophers and can make you smarter while making you laugh
• Rethinking the podcast format due to risks of competition and micro/macro fame
• Risks of stalkers, death threats, and invasion of privacy for those with high visibility
• Need to adapt or modify to mitigate risks, as they are unavoidable
• Social media platforms designed to take advantage of human fears and drives
• Sustainable success is more important than short-term gains in relationships, investing, careers, podcasts, reading habits, and exercise habits.

Summary

Contrarian Money and Writing Advice

Morgan Housel emphasizes the importance of focusing on what doesn’t change when it comes to predicting the future and making investment decisions. He also highlights the significance of good writing, which should come from a place of passion rather than obligation. Housel suggests that writer’s block may indicate that the idea is not strong enough.

Money and Relationships

Housel explores the impact of money on relationships and philanthropy. He discusses the common issue of athletes going bankrupt due to social debt and feeling obligated to help family and friends. Housel also delves into the complexities of wealth inheritance and the potential downsides of giving large sums of money to children.

Contentment and Happiness

Housel challenges the notion that money guarantees happiness. He explains that while money can buy contentment, it does not necessarily lead to long-term happiness. Housel emphasizes the importance of finding satisfaction in career, relationships, and home, as well as managing anxiety and mental well-being.

Writing and Podcasting

Housel discusses the role of comedians as practical philosophers who can make people smarter while entertaining them. He also explores the risks and challenges of podcasting, including competition, fame, and privacy concerns. Housel emphasizes the need for sustainable success and adaptation in various aspects of life.

Conclusion

Morgan Housel’s insights on contrarian money and writing advice, money and relationships, contentment and happiness, and the world of writing and podcasting provide valuable perspectives on navigating life and making informed decisions. By focusing on what doesn’t change, understanding the impact of money on relationships, finding contentment beyond financial success, and adapting to the challenges of modern media, listeners can gain valuable insights for their own lives.