First Principles Thinking: How To Think Like Elon Musk @AmeerRosic1
First Principles Thinking: How To Think Like Elon Musk  @AmeerRosic1
Uploaded January 2020 | Updated September 2026, 14 hours ago
The first principles approach has been used by many great thinkers including inventor Johannes Gutenberg, military strategist John Boyd, and the ancient philosopher Aristotle, but no one embodies the philosophy of first principles thinking more effectively than entrepreneur Elon Musk and Ray Dalio.



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First principles thinking, which is sometimes called reasoning from first principles, is one of the most effective strategies you can employ for breaking down complicated problems and generating original solutions. It also might be the single best approach to learn how to think for yourself.



The Basics

A first principle is a foundational proposition or assumption that stands alone. We cannot deduce first principles from any other proposition or assumption.

Aristotle, writing[1] on first principles, said:

In every systematic inquiry (methodos) where there are first principles, or causes, or elements, knowledge and science result from acquiring knowledge of these; for we think we know something just in case we acquire knowledge of the primary causes, the primary first principles, all the way to the elements.

Later he connected the idea to knowledge, defining first principles as “the first basis from which a thing is known.”[2]

The search for first principles is not unique to philosophy. All great thinkers do it.
Reasoning by first principles removes the impurity of assumptions and conventions. What remains is the essentials. It’s one of the best mental models you can use to improve your thinking because the essentials allow you to see where reasoning by analogy might lead you astray.



Example


Elon Musk applied “first principle thinking” with SpaceX.

“When Musk was estimating the cost of building the first SpaceX rockets, he could have simply used comparable products on the market as a benchmark. Making decisions using common knowledge is the antithesis of first principles thinking. Instead, his team analyzed the necessary parts of a rocket, then researched the prices of the raw materials of parts firsthand. As a result, the SpaceX team was surprised to learn that they could build a rocket that cost around two percent of the typical price.”



As Alber Einstein stated

“If I had an hour to solve a problem and my life depended on the solution, I would spend the first 55 minutes determining the proper question to ask, for once I know the proper question, I could solve the problem in less than five minutes.” – Albert Einstein

Source material:

https://fs.blog/2018/04/first-principles/

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