Today I’ve read some stories about making simple websites and making millions of dollars off them. Many of these stories are truly inspiring. For a moment, I think I can easily build a site, attract huge traffic, and become a millionaire. For a moment, I believed success would be easy.
After sitting silently for a while, I figured out the flaw in my delusion. I am falling for the survivorship bias I learned about in my Financial Investment class. The truth is, what gets reported and written about is usually not the reality. In fact, they are usually anomalies. For example, if I am to form my understanding of reality based on reading newspapers, I would wrongly believe that I can easily win a lottery because newspaper only reports lottery winners, not losers.
Stories we hear are worth hearing, and for something to be worth hearing it must be special. “Special” by definition means not normal. Therefore to base your understanding of the world on stories is a grave mistake.
Therefore, I must remind myself that certain news and stories even though factual, are just statistical anomalies, which do not represent the reality at all.