The term "understanding" refers to depth of comprehension, by…

The term "understanding" refers to depth of comprehension, by inferring one thing from another. It is at a higher spiritual plane than "wisdom." The mishnah has covered three components of the soul: chachmah, binah and da'as, Pl i.e., wisdom, understanding and a thorough comprehension. One who increases any of these has acquired greater worth, unlike the first five items in the mishnah, for which increase is detrimental.

— from The Air Traffic Controller (God)

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