Charlie Munger talks about inversion and mental model – an abstraction or simplification of a system. These are the two core tenets to which he credits his wisdom. I am yet to read a comprehensive book on inversion, but I stumbled upon this book in one of my booklists on Amazon.
I have been reading on Options a lot lately, as a result, have been unable to post any books that I have read recently. I believe the options post in the future will contain the couple of books I have read and reading as I type.
The Mental Models book is an easy and a short read by Kevin Wagonfoot and gives you a flavour of how mentals models can help us form an informed view about the world.
The book covers themes such as
The below passage from the book summarises what the book is about.
Each model is a simplified version of some aspect of reality we want to learn more about. Imagine a map, it is a simplified abstract way to understand physical space. The map isn’t exactly like the land it represents, but it can tell us valuable information area it represents.