Fat is incredibly satiating, and doesn't really create much of an insulin response (which is good). Not to mention, it's really delicious. Now, all fats are not created equal. I'd encourage you to read this great article on Mark's Daily Apple

"Exercise less" is usually used in the context of individuals who are overtraining with endless amounts of running/cardio/lifting/crossfit. There is a tipping point in which the punishment to your body and adrenal system outweighs an physical benefits of exercise. Do a search on this site for paleo hackers who are stalled out on weight loss, most of the top recommendations will be to stop exercising so damn much and get more sleep.

The concept revolves around the concept that carbs (or some types of carbs, or carbs in some quantity) are what are making you (or keeping you) fat. In order to eat less carbs, you need to substitute those calories for something else. Fat is satiating, does NOT make you fat (a hard concept for many to grasp) and is packed with nutrients.

Exercise makes you hungry; hence you eat more and thus diminish any weight loss potential. Any calories you burn via exercise are replaced by the increased appetite. Personally, I feel that some level of excercise is benificial for weightloss, just not in excess.

So, you work out less to lower your appetite, and eat more fat because it replaces carbohydrates, fills you up, doesn’t make you fat, and does a body good (unlike milk, but that is another post).

This is going to be one where I'll say: it's worked for tons of people and just give it an honest try for 30-60 days and see how you do. The real answer to your question requires going to Gary Taubes' treatise "Good Calories Bad Calories" - there's so much background with hormone signalling and how different nutrients are processed in the body. Poke around at www.robbwolf.com and www.archevore.com and see what they have to say, and look at their "getting started" suggestions. Sorry if this seems like a cop out, but we can't really answer your question without a huge book, anything else boils down to "trust us, it works!", so I'll just cut out the middle man and say: "trust me, it works!"

Exercising vigorously, e.g. aerobics/cardio, keeps cortisol high. That's because of million-year-old programming under which your body is convinced you're being chased by an animal, regardless of what your mind thinks. The endorphin high you get is not a reward for exercising, but rather a consolation prize to reduce suffering while being ripped apart by a lion. And high cortisol inhibits fat burning. That's why less stressful activity such as walking, short sprints, playing sports, etc., makes more sense. And when people lose enough weight through diet they generally begin engaging in those more or less automatically.

Saturated/animal fat keeps insulin lower and allows stored fat to be used as energy. And coconut oil, being comprised largely of medium chain triglycerides, is metabolized rapidly by the liver, raising your metabolic rate.

high fat in this case is lots of good fats! (avocado, coconut oil, ghee, olive oil) I personally didnt and dont do much exercise, that said, I need to!!
You can loose weight and hopefully protect the muscle mass you already have but, truth be told, the skinny fat phenomina is true.

The point of less exercise is not NO exercise, its more about walking, keeping moving and doing sprints once a week. Excessive exercise is what they dont want you to do.

hope this helps!!

High fat doesn't always mean a very high calorie intake, simply that fat is making up a high proportion (eg 60%+) of those calories.

I would suggest here to read at least one paleo book cover to cover to grasp the whole idea of paleo lifestyle and understand why exactly it works. Primal blueprint or The paleo solution are both great.

Fat is what will help to keep us feeling full. With Paleo, ultimately our bodies become ketotic. Which means our body uses fat as an energy source as opposed to carbs. Now all of the extra fat that has accumulated on us is now used as energy, thus becomes burned off and viola weight loss

a bit of fat, butter, cheese, coconut oil, olive oil, or the like kills hunger. Killing hunger is the key to weight loss.

I have been trying coconut oil in tea. Just a few grams per jug of tea, and I can go all day between three small meals. Nuts are also good, but the reward for me with nut, cheese is to high.

The "eat more fat" argument is related to the feeling of fat satiation, which causes you to want to eat less.

The "exercise less" argument generally comes from Gary Taubes assertion that exercise makes you hungry.

Both of these arguments are as true as you want to make them. In my experience the second argument is false, because I tend to overeat when I'm bored and inactive, and because I lost 25 pounds (and kept it off for 4 years) by exercising.

Whatever you do stick to it. You won't lose weight unless you eat less than you metabolize. And the scale doesn't lie.