New paper examines the psychological reasons that consumers make financial blunders and offers institutional remedies to help change those behaviors
In an ideal world, consumers are making investment and monetary decisions based on facts and thorough research of the markets, careful analysis, and guidance from seasoned financial experts. Think again.
People work harder when they see their scores accelerate, even if the number makes no sense
Keeping score is a common method of motivation. But new research shows that even if the score itself has no inherent meaning, it can serve as an effective motivator, as long as the score is accelerating.