EconTalk

Nassim Nicholas Taleb on Antifragility

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Jan 16, 2012
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INSIGHT

Antifragility Versus Robustness

  • Antifragile systems improve from stress and have upside from volatility.
  • Fragile things only suffer; robustness merely resists harm without gaining from shocks.
INSIGHT

Stress Is Necessary For Living Systems

  • Living systems need stress to communicate with the environment and improve.
  • Removing stress (e.g., spaceflight bone loss) leads to decay, not health.
ADVICE

Adopt A Barbell Strategy

  • Use a 'barbell' approach: combine extreme safety and small-scale risk-taking.
  • Keep most resources extremely safe and allocate a small portion to high-risk, high-upside bets.
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