Acharya Prashant explains that the distinction between good and bad habits is arbitrary and meaningless. He defines a habit as a programmed, mechanical way of operating that relies on memory and repetition rather than understanding or consciousness. When one acts out of habit, there is no need to think or be present; one essentially becomes a programmed machine. He argues that all habits represent a cessation of living because true living requires understanding and being fully awake in the present moment. He further elaborates that people often cling to so-called 'good habits' because they are socially acceptable or encouraged by upbringing, yet these are just as detrimental as 'bad habits' because they keep the individual in a state of unconsciousness. He compares living by habit to sleepwalking, where actions occur without awareness. Acharya Prashant emphasizes that the real goal should be to get rid of all habits, not just the bad ones. He warns that 'good habits' are more dangerous because, by labeling them as good, we protect them and allow them to persist, much like a 'good poison' that one would willingly consume. Finally, he explains that life presents new challenges every moment, requiring fresh responses. Habitual responses are stale and come from the past, leading to failure in the 'exam of life.' To live truly, one must move away from pattern-based thoughts and actions, instead relying on intelligence, wakefulness, and direct understanding of the present reality.