Less Is More: A Powerful Neuroscience Trick

Decision-making is hard. And it's only getting harder.

Analysis paralysis is a real threat to you and your business. 

We have more data, noise, and choices than ever before. 

But there's a pretty simple trick that helped my business manage risk, my son take tests, and soon ... it can help you make smart & quick decisions. 

 

A neuroscientist, Paul Glimcher, found that instead of trying to pick the best option from your choices, start by eliminating the worst options. This approach reduces noise and makes it easier to identify your true preferences. 

My youngest son was never a great student. He was smart enough to do well – but lacked motivation. Yet, despite his lack of studying, he always managed to pass his tests. 

His "secret to success" was simply eliminating the two answers that made the least sense ... and then making an educated guess. This was enough to earn him a B-average in his classes. 

He learned something intuitively that many people struggle to figure out. 

“I choose a lazy person to do a hard job. Because a lazy person will find an easy way to do it.” – Bill Gates

If you have four options, you have a 25% chance of guessing correctly. But, if you only have two options, you have a 50% chance. When you add skill, insight, and follow-through to the equation, you can start to hack success and make it a probability instead of a possibility ... with a good enough process, maybe even an inevitability. 

 

A variation on this is that one of the key skills of data science is to figure out how to know things faster so that you guess less and profit more.

 

These ideas have been instrumental in how Capitalogix thinks about markets and business. We've built a library of systems for various market conditions and industries. I'm simplifying the process, but a large part of what creates an edge is our ability to eliminate low-expectancy options. 

This "less is more" principle helps us create clarity and reduces the lag between decisions & actions. 

Hopefully, these principles will help you as well.