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The impact of opportunity cost on personal and professional life
Evaluating the benefits and drawbacks of different choices
Understanding the concept of opportunity cost
There’s no magical number...
...of days to form a new habit.
Instead, habits come about gradually over time and in a non-linear fashion.
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Self-Discipline - a series of healthy habits
Long term change is better served by building better habits, than by forcing your willpower.
You will choose the apple over the cake for a number of times ... and then give up. Building a habit to start the day by going to the gym will work better.
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Habits = “automatic” responses...
...to familiar environmental cues.
They form when you engage in a behavior repeatedly in the presence of consistent stimuli.
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Habits are comprised of 3 main parts:
- An environmental cue (that triggers your brain to initiate a habit);
- A behavioral response (the manifestation of the habit);
- A reward (that reinforces the habit).
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Willpower is like a muscle
Just like going to the gym and building up strength, the more you train your willpower by accomplishing tasks on a consistent basis, the more you’ll have of it.
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Making a good habit stick requires:
- Knowing the basics about how habits form and how they work
- Adjusting your perception about the habit you want to build - If the habit seems impossible, then it will feel harder
- Planning for when things go wrong
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Changing a habit
...means changing the cue that triggers it.
Instead of focusing on developing the habit of “working out,” develop the habit of putting yourself in the position to work out regularly: get home, get into workout clothes, prepare you water, go to the gym.
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Missing a habit is not the end of the world
While consistency is key, missing one or a handful of opportunities to practice the desired habit will not ruin your chances at establishing that habit in the long run.
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Repeat
It takes about 66 days to form a new habit, and it is done by repeating the action.
Repeating the same thing in the same situation creates a habit.
14. Adopting Healthy Financial Habits
It takes about 66 days for a new behavior to become an automatic habit.
Stick to a productive daily routine to build healthy financial habits.
When you build healthy financial habits, you will struggle less in life.
Use It or Lose It
Our brains quickly forget what we don’t use. Incorporating new learning into your work is one way to retain knowledge.
Another is spaced repetition. It refers to spreading learning out over time - material should be reviewed in gradually increasing intervals of roughly one day, two days, fo...
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