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The Jordan B. Peterson Podcast

200. Exploring the Pareto Principle

The Jordan B. Peterson Podcast

DailyWire+

Education, Science, Society & Culture

4.634.5K Ratings

🗓️ 4 November 2021

⏱️ 66 minutes

🧾️ Download transcript

Summary

In this episode, we investigate the principle set forth by Vilfredo Pareto (an Economist born in 1848) which specifies that 80% of consequences come from 20% of the causes, asserting an unequal relationship between inputs and outputs. This principle serves as a general reminder that the relationship between inputs and outputs is not balanced. The Pareto Principle is also known as the Pareto Rule, the 80/20 Rule, or the Matthew Principle. Jordan often uses the principle to demonstrate the harsh reality that inequality is not a simple issue, and therefore has no simple answer. Sections: [1:20] - 2017 Maps of Meaning 01 (Context and Background) [10:45] - 2017 Personality 13 Existentialism via Solzhenitsyn and the Gulag [17:01] - Biblical Series VIII The Phenomenology of the Divine [21:34] - 12 Rules for Life Tour - Melbourne, Australia.

Transcript

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0:00.0

Welcome to the Jordan B. Peterson podcast. I'm Michaela Peterson. We're moving to one

0:05.0

interview per week, released on Mondays, and a compilation podcast surrounding interesting topics

0:11.1

on Thursdays. In this episode, we investigate the principle set forth by Velfredo Perrito,

0:18.0

an economist born in 1848, which specifies that 80% of consequences come from 20% of the causes,

0:25.1

asserting an unequal relationship between inputs and outputs. This principle serves as a general

0:30.5

reminder that the relationship between inputs and outputs is not balanced. The Perrito principle

0:36.0

is also known as the Perrito Rule, the 8020 Rule, or the Matthew principle. That often uses the

0:42.0

principle to demonstrate the harsh reality that inequality is not a simple issue, and therefore

0:47.0

has no simple answer. The final section of the podcast is taken from Dad's 2019 lecture titled

0:53.0

The Deeper the Abyss, the Brighter the Light. And it makes up a long section towards the end of

0:57.4

the episode. Please note that even though it moves away from the direct discussion of the principle,

1:02.0

the remaining section of the lecture is how we can move forward, now that we can see the

1:06.3

Perrito principle at play, I hope you enjoy this episode.

1:27.3

The system in Russia, the Soviet Union, which was a collection of states, an empire, and the

1:34.8

system that Mao established in China, and the system that still exists in Korea as a remnant

1:41.6

of the Cold War, and systems in Southeast Asia and in Africa were all predicated on Marxist

1:50.8

presuppositions, presuppositions that were utopian in nature, and that posited a utopian future where

2:02.6

the property was held in common, and everyone had enough, and everyone was called upon to do what

2:09.9

they could, from each according to his ability to each according to his need, which is a lovely

2:16.4

sentiment, and you can imagine how it would be attractive even intellectually, because of course

2:23.2

other systems, all other systems produce vast disparities in income. It's like a natural law,

2:31.5

it's actually governed by, you can model it with a distribution called the Perrito distribution,

...

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