Acharya Prashant clarifies that while the loss of external things like money, family, or possessions does not diminish life itself, life becomes incomplete when it is spent chasing these external objects. He defines true poverty not as a lack of money, but as the constant desire for more. He emphasizes that the fundamental question is distinguishing between what is truly one's own and what is external or imported. According to him, one's own understanding, the capacity to know, and the ability to remain conscious are the only true aspects of the self; everything else, including people, situations, and objects, is external. He advises against forming a deep identity or 'identification' with these external elements. While objects and relationships have utility and provide convenience, they should never define who a person is. Acharya Prashant explains that one cannot truly remove the 'external' because as long as one is alive, external elements like air, land, or even the thoughts in the mind will exist. The goal is not to fear or run away from the external, but to maintain the constant realization that 'I am not the external' and 'I am not a thing.' Problems arise only when a person links their life and identity so closely to objects that the loss of a possession feels like a loss of life itself.