Second-order thinking is a mental model that smart people like Warren Buffett & Howard Marks use to avoid problems. Read this article to learn how it works.

Things are not always as they appear. Often when we solve one problem, we end up unintentionally creating another one that’s even worse. The best way to examine the long-term consequences of our decisions is to use second-order thinking.

It’s often easier to identify when people didn’t adequately consider the second and subsequent order impacts. For example, consider a country that, wanting to inspire regime change in another country, funds and provides weapons to a group of “moderate rebels.” Only it turns out that those moderate rebels will become powerful and then go to war with the sponsoring country for decades....

Second-order thinking is a mental model that smart people like Warren Buffett & Howard Marks use to avoid problems. Read this article to learn how it works.

Things are not always as they appear. Often when we solve one problem, we end up unintentionally creating another one that’s even worse. The best way to examine the long-term consequences of our decisions is to use second-order thinking.

It’s often easier to identify when people didn’t adequately consider the second and subsequent order impacts. For example, consider a country that, wanting to inspire regime change in another country, funds and provides weapons to a group of “moderate rebels.” Only it turns out that those moderate rebels will become powerful and then go to war with the sponsoring country for decades. Whoops...