A real estate appraiser was valuing a ranch easement incorrectly at $125,000 because he thought the problem through in only two dimensions (comparable sales per acre times acreage), missing the three-dimensional reality that utility towers would freeze the grade and prevent the optimal three-dimensional development of hilly land (removing hilltops and filling valleys)
factualpending
Speaker
Charlie MungerEvidence Quote
“what he had done is what he was taught to do an appraisal school he thought the problem through in two dimensions... you got to do this in three dimensions”
Created: 8/11/2026, 8:03:26 AM
My Notes
Loading notes...