Summary

Eisenberg reads the Torah through an economic lens, arguing that trust is the lubricant of every economy and that values create value. The book draws parallels between biblical narratives and modern business challenges: UBI mirrors the Garden of Eden, technological innovation must be paired with moral innovation, and wealth concentration creates social challenges. Key insight: a market acting through principles beats a strictly rational market.

“Fundamentally, trust is the lubricant of every economy.”

Key Takeaways

Notes

Preface

• The reciprocal relationship between law and morality
• ESG / sustainable funds grew 4x from 2018 → 2019
• “Fundamentally, trust is the lubricant of every economy”
• Investors decide what kind of future to develop (back-casting)
• Eg. Lemonade insurance (incentives alignment)
• Reading the Torah through an economic lense
• Sam Altman: “politics is the new religion”
  • Also culture of big companies

1: Work and UBI

• Is there value in work itself?
  • Ie. not just economic (automation)
• UBI
• Torah: work is a man’s essence
• Garden of Eden was like UBI
• Nothing compels man to act when his basic needs are taken care of
• Declining birth rates linked to ↑

2: Technological + moral innovation

• Dishonesty breed distrust
• Innovation naturally breaks existing structures, power
• Innovation must also fortify morality
• Noah (ark) and Nobel
• Must take responsibility for our inventions

3: Wealth as a social challenge

• Abraham’s wealth
• Carnegie’s proposal that concentrated wealth used wisely can do more good for society than when widely distributed
• More luck than we think to wealth
  • Eg. Buffet US vs Bangladesh
• We’re all created in god’s image

4: Post-trauma leadership

• Hobbes’ leviathan
• Leaders must set a good example

5: Values create value (game theory

• A market acting through principles beats a strictly rational market
  • Eg. mother + son prisoners dilemma
  • Eg. tipping
• Tactical empathy: regurgitate their words

6: The birthright and the blessing

• Being adaptable for career

7: Quid pro quo

• Trust is #1
• Iterated prisoner’s dilemma
• Low trust → transaction cost

8: From love to fear

• Better to be loved or feared?
• Machiavelli “perhaps the greatest political thinker in history”
• Nations built on fear are fragile

9: Land reserveLand reserve

• Family businesses only survive to the 2nd generation 30% of the time
• Envy

10: City mouseCity mouse

• Egypt famine emergency food stores

11: A warning signA warning sign

• Decentralized systems are more resilient

12: The land and the seaThe land and the sea

• Entrepreneurs vs managers