Charlie Munger Says It's 'Weird' Everything's Improved By 600%, But People Are Less Happy Than When Life Was 'Brutal And Short'

In 2022, Charlie Munger, billionaire investor and Warren Buffett's longtime partner, shared insights that reveal much about his outlook on technological progress and the pervasive role of envy in society. 

At the Daily Journal's annual meeting, Munger, who passed away in 2023, reflected on the sweeping changes he'd witnessed over the past century. Known for his straightforward wisdom, Munger's observations offer a glimpse into the mind of someone who helped shape Berkshire Hathaway's success alongside Buffett.

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Munger believed strongly in the capabilities of modern civilization. "If you take the last hundred years, most of modernity came in during that period," he noted, highlighting the incredible advancements from 1922 to 2022. He compared this progress to earlier eras, pointing out that life was "pretty brutal and short" before the modern era, lacking basics like plumbing and air conditioning. He saw this progress as a powerful testament to human ingenuity and was optimistic about its continuation.

However, Munger also acknowledged a darker side of this rapid progress. According to him, while modern innovations have dramatically improved the quality of life, they have not led to greater happiness. 

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Instead, Munger suggested that envy, not greed, drives much of today's dissatisfaction. "People are less happy about the state of affairs than when things were way tougher," he remarked. In his view, envy has replaced genuine need as a primary motivator, driving individuals to focus on what others possess rather than their accomplishments.

Munger didn't shy away from critiquing modern society's obsession with wealth and luxury. He warned young people about the pitfalls of pretentious spending, saying, "The hell with the pretentious expenditure. I don't think there's much happiness in it." For Munger, chasing luxury was a hollow pursuit that failed to bring true contentment. Instead, he admired those who could resist the pull of envy and avoid superficial displays of wealth.

He also pointed out that others often fuel envy, especially in today's media landscape. "We have whole networks now that want to pour gasoline on the flames of envy," he said, expressing concern about how this can impact society. He added, "I liked the people who were against envy, not the people who were trying to profit from it."

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Munger observed that people's dissatisfaction grows as they see others achieving more, even though, in his words, "everything's improved by about 600%."

Munger's remarks also touched on the influence of academics like Harvard's Steven Pinker, who highlighted how living standards have improved while perceptions of fairness have deteriorated. "It's weird, but that's what's happened," Munger said, noting that as society becomes wealthier, it grows more resentful.

Although Munger is no longer here, his reflections continue to resonate. He leaves behind a legacy of practical advice, particularly regarding the dangers of envy and the importance of keeping a level head amid society's constant comparisons. In a world that prizes material success, Munger's words are a reminder that true satisfaction might come from focusing less on others and more on the progress one can control.

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