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#387: Think Like a Poker Player to Make Better Decisions

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It’s been said that life is a series of decisions. But life is complex and filled with randomness and uncertainty. How do you make decisions when 1) you don’t know everything you need to know to make the optimal decision, and 2) the factors influencing your decision are constantly changing? 
My guest today suggests thinking like a poker player.
Her name is Annie Duke. She’s a former World Series of Poker champion turned business consultant. In her book "Thinking in Bets: Making Smarter Decisions When You Don’t Have All the Facts," she shares insights from her career as a professional poker player on how to make smart decisions in the face of uncertainty. We begin our conversation discussing why life is more like poker than chess and why you should never judge the quality of a decision by the results. She then shares insights on why you need to factor in luck, both good and bad, when you’re making decisions and how thinking of your decisions as bets can make you feel more comfortable with uncertainty. Annie and I then discuss some of the biases that prevent humans from thinking probabilistically, and why probabilistic thinking can make you more compassionate and humble. She then makes the case that thinking of your political opinions as bets is one way to moderate our increasingly polarized society. We end our conversation discussing how leaders can use the ideas from her book to help the groups they lead make better decisions.
This is a fascinating show filled with actionable insights that you can use right away.
Get the complete show notes at aom.is/thinkinginbets.

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