Can your brain influence your investment accounts? The study of behavioral economics would suggest that it could. Behavioral economics is a psychological study of how cognitive and emotional factors ...
If you're risk-averse, it generally means you don't like to take risks, or you're comfortable taking only small risks. When applied to investing behavior, the meaning changes slightly, and it can ...
Imagine you decide to walk to the park. As you head out the front door, you take a left and walk for about a block. At that point, you realize it would've been a faster journey if you had taken a ...
A recent study claims a core idea in behavioural economics – loss aversion – is a fallacy. Loss aversion is the theory that the pain of losing something is greater than the pleasure we feel by gaining ...
People use eye contact in a variety of ways every minute of every day but how often do you find yourself staring into space with concentrating on an issue or problem? Psychologists now know that ...
The idea of loss aversion—that, to an irrational degree, individuals avoid losses more than they pursue gains—has been influential in the field of behavioral finance. It has been imputed to drive ...
We don’t like to lose things that we own. We tend to become extremely attracted to objects in our possession, and feel anxious to give them up. Ironically, the more we have, the more vulnerable we are ...