We often have sayings, biases, and assumptions that are built and reinforced over time. For example, we often assume that a higher price means higher quality. We also assume that most people are sensible and will figure out a cheap scam so if a product is priced incorrectly, it won’t last long. But is this… Continue reading Higher Prices Mean Higher Quality – Or Do They?
Category: Money Psychology
How Your Feeling Brain Buys the Wrong Investments –Part 2
Even if you just buy company stock or mutual funds in your 401(k), you are still considered an investor, and this blog is for you. In our last blog, we talked about the “feeling” brain and the “thinking” brain. We run on our Feeling brain most of the day until we kick in our Thinking… Continue reading How Your Feeling Brain Buys the Wrong Investments –Part 2
How Your Feeling Brain Blows Your Budget – Part 1
Jason Zweig does a great job of explaining the two sides of our brain in Your Money & Your Brain. We have the “thinking” or Reflective side; and we have the “feeling” or Reflexive side. Our Reflexive side is used more often daily – it is our automatic pilot, or intuition. The reflexive, feeling brain… Continue reading How Your Feeling Brain Blows Your Budget – Part 1
Expecting Money is better than Receiving Money
Yes, believe it or not. Our brains get more excited about the money we expect to get – from a bonus, a lottery, a promotion – than when we actually receive it. How many times do you spend that expected reward in your head? A little goes here, a little goes there, some goes in… Continue reading Expecting Money is better than Receiving Money
6 Questions to Slow a Shopaholic Part 5
These tips are taken from “To Buy or Not to Buy: Why We Over Shop and How to Stop” by April Lane Benson, PhD (2008) as published in Adrian Furnham’s most recent book “The New Psychology of Money”. The trick to changing a behavior is to understand why you are doing it, notice when you… Continue reading 6 Questions to Slow a Shopaholic Part 5
The Shopaholic and The Fallout Part 4
This is Part 4 of Fighting the Shopaholic in You. Eventually, regardless of our reason for shopping ‘til we drop time and time again, we are forced to face the clean up. The emotional aftermath. The financial mess. Call it what you will. Here are some examples of situations that eventually catch up with a… Continue reading The Shopaholic and The Fallout Part 4
Your Rational Decisions – Aren’t. Part 3
I’ve been talking about the shortcuts your brain makes when coming to a decision. It carries on a conversation with itself reviewing all the memories, facts and emotions possibly related to the item in front of you. Here is how branding will get you to spend money based on these Somatic Markers. Being a good… Continue reading Your Rational Decisions – Aren’t. Part 3
How Brands Help with Decisions
When I was transferred from Canada to the U.S., I loved exploring my new neighborhood and settling in. Until it came to shopping for food. One would think that because the two countries are neighbors and we eat, consume and dress so similarly, that it would be an easy transition. Well, it was definitely easier… Continue reading How Brands Help with Decisions
How Mirror Neurons Can Part You and Your Money
Mirror Neurons are a scientific way of saying that when we see a beautiful model wearing a great outfit in Vogue magazine, we want to buy it because we project how beautiful we will look and feel wearing that outfit. Basically, we envision ourselves as a mirror image of the model. This method of marketing… Continue reading How Mirror Neurons Can Part You and Your Money
Re-Frame your Money Behavior for Success
I decided to start running after years of hiking and working out in a gym. And let’s be clear – I hate running. But there comes a time in life when you need to be able to exercise wherever you are to wear off those calories. I worked my way up to 5 minutes, then… Continue reading Re-Frame your Money Behavior for Success