Psychology 02 (Feb 14 - Dec 25)

[winston]

Understanding Difficult Emotions

When you ignore [a] difficult emotion, that's delusion, that's ignoring it. …

When we have wisdom, mindfulness, and understanding, then we can resolve emotions.

—Bhante Buddharakkhita, “Overcoming Difficult Emotions in a Chaotic World”

[winston]

Cialdini's Six Weapons of Influence

by Nicholas Vardy

1. Scarcity

If you believe something is scarce, you will suddenly want more of it. That's why offers are available for a "limited time only."

In the world of investing, an initial public offering of a stock is often "oversubscribed."

If investors can't invest as much as they want, they overvalue the stock. They buy more once the stock is listed, even if it is at a higher price.

The lesson?

Don't chase the price of a stock irrationally. Chances are good you will get a second swing at the ball at a more reasonable price.


2. Commitment and Consistency

If you commit to an idea orally or in writing, you are more likely to honor that commitment.

This commitment explains why you will stick with an investment longer if you've told your friends about it.

Analysts at top investment firms suffer from the same bias. Having put their reputations on the line by recommending a stock, they will stick with it longer than they should.

The lesson?

Don't "marry a stock." Look at your investment portfolio every day with fresh eyes.


3. Liking

People are more likely to buy if they like the person selling to them.

That's why salespeople try to be your new best friend.

In his book, Cialdini cites the marketing of Tupperware. If you make a friend at a Tupperware party, you are much more likely to buy the products. Also, the more attractive you find someone, the more likely you are to buy from him or her.

The lesson?

Be careful of overly friendly salespeople. Don't part with your hard-earned money just because you're both Chicago Cubs fans.


4. Reciprocity

If someone gives you something, you feel you need to return the favor.

Hare Krishnas used to pass out flowers at airports in the 1970s. If you accept an unsolicited gift, you are more likely to donate. That's why brokers overwhelm you with mouse pads, golf balls and tickets to sporting events.

When I was a fund manager, brokers regularly took us to high-profile events. It's how I first went to a Wimbledon tennis match. Consciously or unconsciously, I felt obliged to place my trades through these brokers.

The lesson?

"Free stuff" is never free. You end up paying one way or another.


5. Social Proof

We all look to others to confirm our decisions. To see others making the same choice makes us feel comfortable about our own.

Cialdini had one of his associates on the street look up into the sky. Bystanders then looked up into the sky to see what the associate was seeing.

The lesson?

Novice investors buy companies on the cover of Fortune magazine or what they hear from their friends. Don't do that. Experienced investors are doing the opposite.


6. Authority

We tend to obey authority figures, even when their orders make no sense or are objectionable.

Cialdini cites the famous experiments by Stanley Milgram in the early 1960s. Most of Milgram's subjects were persuaded to give electric shocks to Milgram's associates because an authority in a white lab coat told them to do so.

Investors will often justify buying a stock by citing Goldman Sachs' "Buy" recommendation. Jim Cramer recently said that "there is no ceiling on Tesla stock."

The lesson?

Do your own thinking. Question authority.


Source: Liberty Through Wealth

[winston]

What Makes Our Minds Happy

by Tsem Rinpoche

My projections is a huge scary monster that follows me in whatever I do.
~Tsem Rinpoche

https://www.youtube.com/watch?v=ViPLXLVj4qA

[winston]

If You Want to Be Happy, Try to Make Someone Else Happy

A new study shows that doing kind things for others is an important path to happiness

BY JILL SUTTIE

Source: Epoch Times

https://www.theepochtimes.com/if-you-wa ... 2021-06-08

[winston]

Learning to Manage Our Fear

Fear can be a powerful motivator but it needs to be understood and handled appropriately

BY CONAN MILNER

Fear-inducing public health campaigns can also inspire denial, backlash, avoidance, defensiveness, stigmatization, depression, anxiety, increased risk behavior and a feeling of lack of control.

It’s not so much the feeling, but rather your reaction to it.

“It’s about evaluating our fear, seeing if it’s warranted or not, and then considering what we can do about it”.

In an environment of never-ending stress and elevated cortisol, people typically acquire fat more easily and have a harder time losing it.

Source: Epoch Times

https://www.theepochtimes.com/learning- ... 2021-06-10

[behappyalways]

CIA Experimented On 100s Of Orphans, Torturing Them To Reveal Psychopathic Traits; Report
https://www.zerohedge.com/geopolitical/ ... its-report

[winston]

The Unique Struggle of Forgiving Yourself

Many of us either overlook our shortcomings or believe they are all that we are

BY CONAN MILNER

Forgiveness is the release of resentment in exchange for compassion.

Self-forgiveness is about owning up to what you did, accepting your faults, and working to avoid a repeat of the same mistake.

Source: Epoch Times

https://www.theepochtimes.com/the-uniqu ... qdys320%3D

[winston]

How to handle an Argument

1. Stay cool always. Do not be angry. Be patient.
2. Always speak the truth.

https://www.youtube.com/watch?v=39l5RaCV8JA

[winston]

How to remain calm under pressure

1. What is the situation? It's always impermanent. But our mind clings to it.
2. Try to maintain Peacefulness by calming the Mind. Do Meditation. Contemplate on Breath. Breathe deeply.
3. Practise Forgiveness, Loving-Kindness

https://www.youtube.com/watch?v=qIDX-OkQvIM

[winston]

Paul Bloom says happiness and suffering are closely connected. If you don't believe it, ask a rock climber

By Anna Kelsey-Sugg and Lindy Raine

Suffering can deliver us the goods we mightn't know we need – and even lead us into contentment.

Two distinct types of happiness.

One is simple and in the moment.

The other he describes as a "deeper and broader idea of happiness". It's where you'll find morality, purpose and meaning.

"In the two different kinds of happiness, you see these different notions of a good life at war with one another," Professor Bloom says.

But he says a fulfilled life requires that there be some harmony between the two.

It's human nature to always seek something better. By remaining never "too happy", we constantly strive towards more happiness.

Source: abc.net

https://www.abc.net.au/news/2022-07-25/ ... =291917007