Becoming a Rational Optimist is good for your mental and physical health, wealth, family, and country, and you shouldn’t feel guilty or naïve about it.
First, think about how so many became so pessimistic in the first place.
A common explanation is evolution. Pessimists are more attuned to dangers. Therefore, they survived and procreated at higher rates, shaping today’s human race of worriers.
Fine, but it’s only half the story.
Studies show the average American is optimistic about his and his family’s life. He expects to make more money, to better his lot in life, to retire comfortably.
He’s a little less optimistic about his town… still less his state and country. And he’s sure his planet is going to hell.
Why? Probably because a person’s outlook is shaped by his personal experience. When one cannot draw on personal experience because the matter is too abstract or faraway, they must rely on the media to shape their worldview.
Everyone knows the media loves to trumpet bad news. In some ways it’s hard to blame them. Their job is to get attention. Bad news works. Why?
Most good news is slow moving. Did you know 138,000 people permanently escaped from poverty yesterday? And it happened again today. And 138,000 more will again tomorrow, on average. Imagine that in the headlines!
It’s wonderful news… but it gets old fast. It’s not novel. It doesn’t grab your attention like a police shooting, plane crash or a hyped-up climate event.
So pessimism isn’t necessarily our default wiring. We’re being nudged into it by the media. Or shoved, depending on what you read and watch.
But let’s stay grounded in facts. By almost any objective measure the world is better than ever. The data proves it. Poverty and hunger continue to plunge. Literacy is skyrocketing. We’re safer, cleaner, richer, and less violent than ever.
No one disputes this data. Instead, skeptics ask:
But at what cost?
A common argument is human progress comes at the expense of the natural environment. Does it?
There are more trees on earth today than 35 years ago, and more forestland in America than 100 years ago.
US carbon output is at 17 year lows and rapidly plunging. Not per just per capita – overall. Same in the UK, France, and most of the west.
Drinking water is cleaner worldwide than ever.
Climate-related deaths have fallen to all-time lows.
London’s air has never been cleaner for as far back as we have data.
There’s record high coral on 2/3rds of Australia’s Great Barrier Reef.
Formerly endangered species like the humpback whale have come roaring back.
And keep in mind: the most prosperous countries enjoy by far the cleanest environments. Prosperity and a clean environment go hand in hand.
Overpopulation is another boogeyman. Sorry catastrophizers. The UN now projects the global human population will plateau naturally at about 9-10 billion. Turns out, as societies get richer, they have less babies.
So those who think the world is getting worse are objectively wrong.
Reason number 1 to be a Rational Optimist: the facts are overwhelmingly on your side. When your mindset is aligned with reality, you’ll enjoy a newfound immunity to the constant stream of depressing news.
Many self-help books preach optimism. Researchers have long known that optimists live better lives. There’s no real debate.
Here’s a sampling of the facts. Optimists:
Are much more likely to live to 100 years old and meet their great grandkids.
Have happier marriages.
Are seven times more likely to be financially healthy
Have more grit. They are more resilient and resistant to stress, and more likely to see setbacks as challenges.
Have better careers and are more likely to be promoted.
Tend to be much better investors. Investing legend Jim O’Shaughnessy calls optimism “an asymmetric edge” in long-term investing.
Reason number 2 to be a Rational Optimist: you’re doing what’s best for you, your family and your business. Practicing Rational Optimism boosts the odds of good things happening in your life. And you’ll be a great role model for kids.
After all, what do you want for your kids and grandkids? Do you want them growing up full of dread and despair? As helpless, hopeless victims?
Pessimism can induce a victim mentality where not only will you think the world is getting worse… there’s nothing you can do about it.
How sad.
We want our kids to plant trees because they believe their family will be around in 50 years to enjoy the shade.
We want our kids to work hard, save, and invest. Because they know the world is highly likely to keep on getting better, with occasional setbacks that can be overcome, like it has in the last 250 years.
We want our kids to be Rational Optimists.
How about you?
Dan Steinhart
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