Your information helps me understand shopaholics and how they get a drug fix making purchases. I can understand how that can happen, because I know the rise in my mood when I buy a new pair of shoes. Your greatly curated article is a must read! Thank you!
Great article, Tha, and on a fascinating topic. There's a reason why my writing is mostly on human nature: I believe knowing about this subject is the most important thing. Things like greed, fear, irrationality, myopia, overconfidence...
These things make us miscalculate terribly. We sink relationships, make foolish investment decisions, start wars, compromise governance, etc. Investment, as Morgan Housel likes to say, is less about money and more about human nature. He's right. Money is a tool, trading and investment a game ... a game that needs more psychology than finance.
I'm always fascinated about money, partly because my training is in economics. But I love decoding the secrets of human nature, which is why I love reading and writing far more.
I believe subjects as the one you explore here are important. They matter in teaching that most of the time, we cannot win if we don't understand psychology. Knowing why people behave as they do is important; it's important in knowing who will gain, increase, and/or lose their money. It's important in knowing who to bet on, for where people's minds are, that's where money will be.
Thank you for your thoughtful response! I'm glad to hear that you found the topic of human nature and its intersection with finance as fascinating as I do. It's truly remarkable how deeply ingrained psychological factors can be in shaping our financial decisions and behaviors.
Your background in economics must provide you with a unique perspective on these matters. It's clear that your passion for decoding the secrets of human nature adds an invaluable dimension to your understanding of economic principles
Tha, this sheds light on how our minds work when money's involved - often irrationally! By looking at emotions, biases, peer pressure, and more behind financial choices, behavioral finance reveals we are not just cold calculators. Understanding these psychological factors helps us become wiser financial decision-makers. I am reading the book Same as Ever which touches on these concepts as well.
Absolutely! Behavioral finance is such a fascinating field because it acknowledges the complexity of human behavior when it comes to money. It's true, we're not always the rational decision-makers that traditional economic theories assume us to be. Emotions, biases, social pressures - they all play significant roles in shaping our financial choices."Same as Ever" sounds like an intriguing read, especially if it delves into these psychological factors behind financial decision-making. I read your post regarding the same. Well written.
Ooo fun! I studied psychology (but tapped out because it wasn't quite right for me) but it's always remained an interest of mine, especially in these types of topics!
Very concise and informative, Tha. You make some important points about the emotional nature of our relationship to money. Really, we’re not the rational actors we believe ourselves to be. Thank you for posting this.
You're very welcome! I'm glad you found the points about the emotional aspect of our relationship with money insightful. It's true that our decisions regarding finances are often influenced by emotions in ways we may not even realize. Understanding these dynamics can lead to more informed decision-making and better outcomes.
Your information helps me understand shopaholics and how they get a drug fix making purchases. I can understand how that can happen, because I know the rise in my mood when I buy a new pair of shoes. Your greatly curated article is a must read! Thank you!
Happy reading and happy spending!
Great article, Tha, and on a fascinating topic. There's a reason why my writing is mostly on human nature: I believe knowing about this subject is the most important thing. Things like greed, fear, irrationality, myopia, overconfidence...
These things make us miscalculate terribly. We sink relationships, make foolish investment decisions, start wars, compromise governance, etc. Investment, as Morgan Housel likes to say, is less about money and more about human nature. He's right. Money is a tool, trading and investment a game ... a game that needs more psychology than finance.
I'm always fascinated about money, partly because my training is in economics. But I love decoding the secrets of human nature, which is why I love reading and writing far more.
I believe subjects as the one you explore here are important. They matter in teaching that most of the time, we cannot win if we don't understand psychology. Knowing why people behave as they do is important; it's important in knowing who will gain, increase, and/or lose their money. It's important in knowing who to bet on, for where people's minds are, that's where money will be.
Commendable thinking, Tha. Thank you.
Thank you for your thoughtful response! I'm glad to hear that you found the topic of human nature and its intersection with finance as fascinating as I do. It's truly remarkable how deeply ingrained psychological factors can be in shaping our financial decisions and behaviors.
Your background in economics must provide you with a unique perspective on these matters. It's clear that your passion for decoding the secrets of human nature adds an invaluable dimension to your understanding of economic principles
Tha, this sheds light on how our minds work when money's involved - often irrationally! By looking at emotions, biases, peer pressure, and more behind financial choices, behavioral finance reveals we are not just cold calculators. Understanding these psychological factors helps us become wiser financial decision-makers. I am reading the book Same as Ever which touches on these concepts as well.
Absolutely! Behavioral finance is such a fascinating field because it acknowledges the complexity of human behavior when it comes to money. It's true, we're not always the rational decision-makers that traditional economic theories assume us to be. Emotions, biases, social pressures - they all play significant roles in shaping our financial choices."Same as Ever" sounds like an intriguing read, especially if it delves into these psychological factors behind financial decision-making. I read your post regarding the same. Well written.
Ooo fun! I studied psychology (but tapped out because it wasn't quite right for me) but it's always remained an interest of mine, especially in these types of topics!
No knowledge is a trash. Though you left , you still remember it.
Very concise and informative, Tha. You make some important points about the emotional nature of our relationship to money. Really, we’re not the rational actors we believe ourselves to be. Thank you for posting this.
You're very welcome! I'm glad you found the points about the emotional aspect of our relationship with money insightful. It's true that our decisions regarding finances are often influenced by emotions in ways we may not even realize. Understanding these dynamics can lead to more informed decision-making and better outcomes.