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CHAPTER 7: WHY DID WALL STREET CRASH AND

WARREN BUFFETT PROSPER?

1. Just after 7:30 a.m.: Alan’s story and the

description of Dorn and her house are

based on a series of telephone and e-mail

interviews with the author, conducted

between 2008 and 2010.

2. Financial history is full of examples:

There are also many examples from military

history. “Hurrah, boys, we’ve got

them!” General Custer famously shouted at

the battle of Little Bighorn in 1876—just

before his entire unit of two hundred men

was wiped out by three thousand Sioux and

Cheyenne. General MacArthur advanced in

the face of repeated Chinese threats of attack

during the Korean War, costing almost

2 million lives with little strategic gain.

Stalin refused to believe that the Germans

would invade Russia in 1941, even after

ninety warnings of an impending attack. See

Dominic D. P. Johnson, Overconfidence and

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