Cover of Maxims for Thinking Analytically

Maxims for Thinking Analytically

Dan Levy

3 ideas

  1. Model the problem before solving it

    Before reaching for a solution, build a simplified representation that isolates the key variables and relationships driving the situation. A good model deliberately ignores most details so that the few that actually matter become visible and manipulable.

  2. Counterfactual reasoning reveals true causes

    To know whether something caused an outcome, ask what would have happened in its absence rather than just observing what followed it. The difference between the actual world and the imagined counterfactual world is the genuine effect, which guards against confusing correlation with causation.

  3. Decisions and outcomes must be judged separately

    A good decision can produce a bad outcome and a bad decision a good one, because chance intervenes between choice and result. Evaluate the quality of a decision by the information and reasoning available at the time, not by retrospectively grading it on how things happened to turn out.

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