Its hard to find a place today where concepts of behavioral finance arent being applied to real-world situations. From London to Washington to Sydney, governments are experimenting with the psychology of decision-making and trying to nudge citizens toward better behaviors, whether that means saving more for retirement or signing an organ donation card. Meanwhile, businesses see opportunities for higher profits. To grab more attention and dollars from consumers, companies as far afield as banks and fitness-app makers carefully design their offerings with consumers decision-making quirks in mind. <\/p>\n
Many behavioral interventions work, whether at reducing litter and power use or boosting savings rates. Yet these successes arent the whole story. Even after rigorous experimentation and data analysis, the best-intentioned nudges can fall flat or backfire. Some may be behavioral bandages that dont address deeper structural problems such as stagnating wages. Nevertheless, consumers have jumped on the bandwagon, eager to be manipulated into the best version of themselves, and businesses are rushing to meet the demand. <\/p>\n
(Cristiana Couceiro\/For The Washington Post) <\/p>\n
Ellen Nakashima <\/p>\n
Multinational response to suspected Iranian attack, until now untold, reflects Obamas difficult choices. <\/p>\n
Ben Steverman <\/p>\n
Heres a round-up of apps that could help manage your finances. <\/p>\n
Ben Steverman <\/p>\n
Companies as far afield as banks and fitness-app makers keep consumers decision-making quirks in mind. <\/p>\n
Where many people need the biggest nudge, if not a shove, is with making financial decisions. The effect of emotion on investment decisions is usually negative good old fear and greed, as well as paralysis from being overwhelmed by choice. At the same time, even if someone wants to build an emergency fund or open an IRA, bad spending and saving habits are hard to break. To help users follow through on good intentions, a raft of financial apps and online investing Web sites use a mix of encouragement, nagging, incentives and design. <\/p>\n
<\/p>\n
Originally posted here: Its hard to find a place today where concepts of behavioral finance arent being applied to real-world situations. From London to Washington to Sydney, governments are experimenting with the psychology of decision-making and trying to nudge citizens toward better behaviors, whether that means saving more for retirement or signing an organ donation card Continue reading
\nManipulated: The rise of behavioral finance<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"