One of the basic underpinnings of our society is the notion that people like money and are good with money. They like making money, they like deciding what to do with their money, the whole business of business is an endless fascination for them. On top of that, we’re good at using our money to get what we want. But what if it’s not true? What if, in reality, we hate making financial and business decisions and would rather have it all taken care of by other people? What if we’re actually not very good at spending our money wisely, if, in reality, our tendency is to be irrational and flippant with our funds? There is reason to believe the latter, according to a recent study by Daniel McFadden comparing on an interdisciplinary level what we know about human psychology, neurology, biology, and anthropology with what we think we know about economics (the full study is here, go here for an interview with McFadden).
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