Behavioral Economics For Dummies
Morris Altman
For Dummies
<b>A guide to the study of how and why you <i>really</i> make financial decisions</b><p>While classical economics is based on the notion that people act with rational self-interest, many key money decisions—like splurging on an expensive watch—can seem far from rational. The field of behavioral economics sheds light on the many subtle and not-so-subtle factors that contribute to our financial and purchasing choices. And in <i>Behavioral Economics For Dummies</i>, readers will learn how social and psychological factors, such as instinctual behavior patterns, social pressure, and mental framing, can dramatically affect our day-to-day decision-making and financial choices.<p>Based on psychology and rooted in real-world examples, <i>Behavioral Economics For Dummies</i> offers the sort of insights designed to help investors avoid impulsive mistakes, companies understand the mechanisms behind individual choices, and governments and nonprofits make public decisions.<ul><li>A friendly introduction to the study of how and why people really make financial decisions<li>The author is a professor of behavioral and institutional economics at Victoria University</ul><p>An essential component to improving your financial decision-making (and even to understanding current events), <i>Behavioral Economics For Dummies</i> is important for just about anyone who has a bank account and is interested in why—and when—they spend money.