Buffett found it 'extraordinary' that academics studied such things. They studied what was measurable, rather than what was meaningful. 'As a friend {Charlie Munger} said, to a man with a hammer, everything looks like a nail.
Warren Buffett expressed amazement at how academics focus on quantifiable metrics instead of the more meaningful aspects of business and investing. He believed that their approach often leads to an oversimplified understanding of complex situations by emphasizing what can be easily measured rather than what truly matters in the context of investment success.
This perspective highlights a common issue in analytical thinking, where those equipped with a particular framework or tool may apply it universally, missing the nuances of real-world scenarios. Buffett's friend Charlie Munger's metaphor about a man with a hammer further illustrates this point, suggesting that a narrow viewpoint can lead to misguided conclusions, emphasizing the importance of a broader, more comprehensive understanding in investment strategy.