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Thinking & Probability

Skin in the Game

Nassim Nicholas Taleb

Why asymmetry and risk matter in everyday life.

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Review

After reading this, I started noticing how much of the advice in the world comes from people who face no consequences if they're wrong.

Taleb's argument is that having skin in the game — personally bearing the risk of your own recommendations — is what makes expertise worth trusting. Without it, there's no cost to being wrong, so the advice is essentially free noise.

The applications are everywhere. Politicians who send others to wars they'd never fight. Consultants who recommend things they'd never implement themselves.

It permanently changed how I filter whose opinions I actually pay attention to.

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