A breakdown of the benefits and pitfalls of the human brain’s tendency to simplify complex situations.

“The narratives we hold about ourselves and our place in the world are the raw materials from which we build our existence,” writes venture capitalist Gupta at the outset of his debut book. These stories we tell ourselves are what he refers to as “mental models,” and he asserts that they’re the ultimate source of many of society’s conflicts—from opposing public reactions to the Covid-19 pandemic to contradictory responses to the clear threat of climate change. In Gupta’s telling, such mental models share several characteristics, such as the fact that they’re learned, not innate; they’re based on strong beliefs but can still be both fluid and subconscious; and perhaps most importantly, they’re incomplete, as they ignore complexity by their very nature: “A simple sketch doesn’t retain all the details of what it represents; consider what’s left out in a stick figure sketch of a person.” Throughout, Gupta insightfully stresses that these mental models aren’t always bad things; they often “go a long way toward taking the friction out of cross-functional collaboration,” although they can also “stymie innovation, and reinforce social boundaries.” Over the course of this book, the author skillfully cites the works of experts, such as Nobel Prize–winning psychologist and economist Daniel Kahneman, alongside stories from his own life to help to back up his points. His questioning, fact-grounded approach is the book’s main strength, conveying the impression of a well-informed scholar who has an open mind about the origins of closed-mindedness. Indeed, many readers may be prompted to re-examine their own personal tenets.

A well-researched and ultimately hopeful look at biases and how to re-examine them.

A manual offers an introduction to the basics of savings and investment.

Gupta cautions readers that it is “critical to build a second source of income that will allow you to live life on your terms.” He doesn’t mean a second job, just another opportunity to trade time for money, but rather a passive income that generates itself. To that end, the author focuses on the long-term results of savings—he recommends putting aside 12% to 15% of one’s income—and investment, both of which can produce extraordinary gains given the “magic of compound interest.” Gupta furnishes a brief—the entire book is under 100 pages—primer that is not meant to articulate very specific strategies or to limn an in-depth picture of the inner workings of the market. He explains the basic nature of stocks and bonds, the various kinds of funds one can invest in, and their comparative advantages and disadvantages. He also discusses, with great clarity and a minimum of technicality, mortgages, life insurance, market volatility, and the fundamentals of individual stock purchasing. He concentrates on providing a clear understanding of the most “basic concepts,” and as a result, this book will only be useful to those bringing virtually no knowledge or experience to the table. The underlying philosophy of his method is as lucid as it is sensible: “The plan at its core is simple: start saving early, invest as much as you can, and try to earn a reasonable rate of return.” But Gupta’s approach can be so simplistic that it borders on condescension—the first rule of his investment philosophy is “never lose money,” advice that is surely prudent but also banal. There are many books that deliver investment tips and include both more analytical depth and more actionable strategies.

A clear and sensible, if simplistic, financial guide.