Fooled by Randomness
"Fooled by Randomness" by Nassim Nicholas Taleb explores the role of luck and randomness in success and decision-making, particularly in financial markets. Taleb argues that people often attribute their achievements to skill rather than chance, leading to cognitive biases and poor risk assessment. The book emphasizes the importance of recognizing the limits of knowledge and the unpredictable nature of life.
19 curated highlights from this book
Key Insights & Memorable Quotes
Below are the most impactful passages and quotes from Fooled by Randomness, carefully selected to capture the essence of the book.
The inability to predict outliers implies the inability to predict the course of events.
We are more concerned about our reputation with the dead than our reputation with the living.
What we learn from history is that people don’t learn from history.
The past is not a guide to the future.
It is not the strongest of the species that survive, nor the most intelligent, but the one most responsive to change.
The fool is the one who thinks he knows everything.
You can be right for the wrong reasons and wrong for the right reasons.
A lot of people think they are rational but they are just not aware of their biases.
To be completely cured of newspapers, spend a year reading the previous week's newspapers.
The market is a device for transferring wealth from the impatient to the patient.
We are more concerned about our reputation with others than with the truth.
What is beautiful is good, and what is good will be chosen.
The fool is the one who thinks he knows what he doesn’t know.
Luck is what happens when preparation meets opportunity.
The three most harmful addictions are heroin, carbohydrates, and a monthly salary.
You can be wrong half the time and still make a fortune.
The market is not a place; it is a process.
You are not a statistic; you are an individual.
A lot of people are simply unaware of their limitations.