They Didn’t Get Lucky

Summary

• I learned from losing money multiple times that sometimes people think success comes from luck, but that's not the whole story.
• There's something called the Dunning-Kruger effect, where people overestimate their abilities, which can actually be helpful because it gets you started on a new task or skill.
• At first, you might find out that what you're doing is hard and that you're not very good at it.
• It's important to stick with it, even when it's difficult and you feel like you're not succeeding.
• Over time, as you keep working and learning, you build up skills.
• Eventually, after enough practice and persistence, you start to see the benefits and rewards from all the hard work you've put in.

Video

How To Take Action

I would suggest starting by embracing setbacks as learning opportunities. Every failure is a step closer to success. Reflect on what went wrong and what you can learn from it. This approach turns mistakes into valuable lessons without costing extra money or time.

A good way of doing this is to focus on the Dunning-Kruger effect. By recognizing when you might be overestimating your abilities, you can approach new tasks with a learning mindset. Overconfidence can get you started, but humility keeps you moving forward. Accept that being bad at something initially is part of the process and keep pushing.

Stick with tasks even when they feel difficult. Persistence is key to building the skills needed for success. Commit to small, consistent improvements rather than expecting immediate mastery. Set short, achievable goals that encourage ongoing progress.

To ensure ongoing growth, allocate time each week to practice and refine new skills. For personal development, consider dedicating just an hour a day to reading, learning, or practicing something new. This investment compounds over time, leading to significant improvements without overwhelming your schedule.

Finally, celebrate small wins. Noticing and appreciating progress, no matter how minor, boosts motivation and helps maintain momentum. Keep a journal or a list of achievements to see how far you’ve come, reinforcing your commitment to the journey.

Full Transcript

I lost money over and over again and then one day I made a ton of money and people were like wow you got so lucky but it's not that you get lucky it's called the Dunning Krueger effect which is essentially people overestimate their ability to do something and that's good because if you didn't overestimate it you wouldn't start doing it in the first place you quickly realize that it's hard and you suck at it but then if you stick with it when knowing that you suck and it is hard eventually you get better and then one day you've stacked enough skills that you see the benefits or the reward for all the work you've put in