Podcasts about Mental accounting

Retirement Lifestyle Show, hosts Roshan Loungani and Adrian Nicholson journey into the realm of financial psychology, exploring how various psychological concepts influence retirement planning and investing. They discuss the status quo bias, heuristics, analysis paralysis, mental accounting, the endowment affect, herd behavior, and narrative fallacy, providing insights and examples to help listeners understand the impact of these biases on their financial decisions. The conversation emphasizes the importance of self-awareness in managing finances and making informed investment choices. Hashtags: financial psychology, retirement planning, investing, behavioral finance, decision making, status quo bias, heuristics, analysis paralysis, mental accounting, endowment affect, herd behavior, narrative fallacy Chapters 00:00 Introduction to Financial Psychology 03:13 Understanding Status Quo Bias 05:58 Heuristics in Financial Decision Making 10:57 Analysis Paralysis: The Dangers of Overthinking 15:00 Mental Accounting and Its Implications 21:14 The Endowment EAect: Emotional Attachments in Finance 27:57 Herd Behavior in Investing 31:58 Narrative Fallacy: The Power of Compelling Stories Follow Us At: Website: https://retirementlifestyleshow.com/ https://www.retirewithroshan.com https://youtu.be/hKVzI87v0tA https://twitter.com/RoshanLoungani https://www.linkedin.com/in/roshanloungani/ https://www.facebook.com/retirewithroshan/ https://www.linkedin.com/in/financialerik/ https://www.linkedin.com/in/adrian-nicholson-74b82b13b All opinions expressed by podcast hosts and guests are solely their own. While based on information they believe is reliable, neither Arete Wealth nor its affiliates warrant its completeness or accuracy, nor do their opinions reflect the opinion of Arete Wealth. This podcast is for general informational purposes only and should not be regarded as specific advice or recommendations for any individual. Before making any decisions, consult a professional

Anleger wollen ihr Vermögen oft über mehrere Portfolios mit verschiedenen Strategien verteilen. Beispielsweise werden alle Aktien in einem Portfolio gehalten, alle Obligationen in einem anderen. Die Neigung, sein Vermögen gedanklich in verschiedene Töpfe aufzuteilen, nennt man in der Verhaltensökonomie «Mental Accounting». Aber ist das sinnvoll? Oder ist eine Strategie nicht besser? Getrennte Portfolios führen nach einer gewissen Zeit dazu, dass das Aktienportfolio schneller wächst als das Obligationenportfolio. Das Ergebnis ist, dass irgendwann das Anlagerisiko nicht mehr zur persönlichen Risikotoleranz passt. Hinzu kommt, dass du auch mehrere Steuerdokumente handhaben musst. All das ist administrativer Mehraufwand, welcher sich zudem jedes Jahr wiederholt. Welche Gründe es noch gibt und in welchem Fall mehrere Anlagestrategien sinnvoll sind, das erfährst du im heutigen Coffee Break.   Über True Wealth True Wealth AG ist die führende digitale Vermögensverwaltungsplattform mit Sitz in Zürich, Schweiz. Wir bieten transparente und kosteneffiziente Anlagestrategien für Privatanleger mit Wohnsitz in der Schweiz, die eine moderne digitale Vermögensverwaltungslösung suchen. Säule 3a inbegriffen mit 0% Verwaltungsgebühr. Jetzt mehr erfahren.

In this episode of ThimbleberryU, Jon "JAG" Gay and Amy Walls discuss strategies for making better decisions, particularly focusing on financial decision-making. We delve into what influences good and bad decisions and how we can improve our decision-making processes.We start by recognizing that emotions significantly impact our decisions. Amy shares a personal anecdote about her current dilemma in buying a new car, highlighting how fear and greed can influence our choices. These emotions, she explains, can cloud our judgment, making us second-guess our financial decisions even when we are financially capable.Cognitive biases also play a crucial role. Overconfidence, anchoring, and confirmation bias can lead to poor decision-making. For instance, anchoring on a specific price point or seeking out information that supports pre-existing beliefs can skew our choices. Additionally, heuristics or mental shortcuts, like the outdated 4% rule for retirement withdrawals, can lead to oversimplified and potentially harmful financial strategies.Amy emphasizes the importance of rational analysis and comprehensive data in countering these biases. She also stresses the value of delayed gratification, learning from past mistakes, and remaining adaptable. Jon and Amy discuss the benefits of having rational conversations, especially on polarizing topics like politics, to understand different perspectives and make informed decisions.A significant point Amy raises is the concept of mental accounting, where people treat money differently based on its source or intended use. This can lead to irrational spending habits, such as splurging bonuses or inheritance money multiple times over.On the flip side, good decision-making strategies include rational analysis, focusing on long-term benefits, and emotional regulation. Amy advocates for making decisions based on logic rather than impulse, and seeking the advice of experts to provide objective insights.Amy shares practical tips to avoid common financial pitfalls. Panic selling during market downturns, chasing trends without proper research, and overconfidence in unfamiliar areas are major traps. To avoid these, she suggests having a long-term investment plan, staying disciplined, diversifying investments, and regularly reviewing one's financial strategy.Finally, Jon and Amy conclude by stressing the importance of professional financial advice. Whether one is working with an advisor or managing finances independently, education, thorough research, and the use of technology for data-driven decisions are key. Balancing the science of financial data with the art of human behavior is essential for successful financial management. To get in touch with Amy and her team at Thimbleberry Financial, call 503-610-6510 or visit thimbleberryfinancial.com.

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In this episode of The Brainy Business podcast, host Melina Palmer welcomes Jeff Kreisler, Head of Behavioral Science at JPMorgan Chase and celebrated author. Dive into Jeff's fascinating journey from lawyer and stand-up comedian to a leading expert in behavioral science, discovering along the way how humor intertwines with our decision-making processes. Jeff shares insightful anecdotes and explains the significant impact of behavioral economics in both personal and professional realms, especially in wealth management at JPMorgan Chase.  The discussion explores the evolving role of AI in decision-making, emphasizing ethics and biases, and highlights the necessity of diverse perspectives and adapting to new challenges in large organizations. Jeff's unique blend of wit and wisdom illuminates the peculiarities of human behavior and the potential of behavioral science to enhance financial decision-making and reduce stress. This episode is a must-listen for anyone intrigued by the intersection of psychology, economics, and the transformative power of humor within the business world. In this episode: Understand the impact of behavioral science on financial decision-making for improved strategies. Explore Jeff Kreisler's successful career transition to behavioral science and its relevance in finance. Discover the power of incorporating humor in behavioral economics to enhance financial outcomes. Harness the role of AI in revolutionizing and enhancing financial services for better client engagement. Learn the key steps to build a successful career in behavioral economics and its impact on financial decision-making. Show Notes: 00:00:00 - Introduction, Jeff Kreisler shares his unconventional journey from studying economics and law to becoming a stand-up comedian and eventually the head of behavioral science at JPMorgan Chase. 00:05:22 - Discovering Behavioral Science Jeff discusses how he stumbled upon behavioral science through a business humor column and his collaboration with Dan Ariely, which led to a deeper understanding of human decision-making. 00:07:50 - Applying Behavioral Science Jeff talks about his experience working on popular books and projects with Dan Ariely, as well as his role at PeopleScience, where he bridged the gap between behavioral science and real-world applications in various industries. 00:10:38 - Career Insights and Opportunities Jeff reflects on the importance of staying open to opportunities, being honest with oneself, and the role of privilege in taking career risks. He emphasizes the value of keeping a flexible mindset in today's ever-changing economy. 00:13:42 - Coping with the Unknowns of the World Jeff discusses the idea of coping with the unknowable aspects of the world and the mindset of irrationality in human behavior. He shares a personal anecdote about learning to laugh at mistakes and the unique experience of being alive. 00:14:50 - Observing Human Behavior Jeff talks about the mindset of behavioral scientists and the importance of observing and testing people's behavior. He emphasizes the significance of small, seemingly insignificant changes that can have a massive impact on human behavior. 00:16:14 - Spontaneity in Public Speaking The conversation touches on the spontaneity in public speaking and the challenge of maintaining spontaneity while using a script. Jeff humorously reflects on his experiences in comedy and public speaking. 00:18:17 - Mental Accounting and Decision Making Jeff discusses the concept of mental accounting and how it influences decision making. He highlights the emotional and irrational aspects of decision making, using the example of pricing and relativity in consumer behavior. 00:24:27 - Impact of Behavioral Science in Finance Jeff shares his motivation for joining JP Morgan Chase and the potential impact of behavioral science in improving financial decision making for American families. He emphasizes the importance of communication and the value of leaning into one's strengths in a professional role. 00:27:07 - Career in the Financial Sector Jeff discusses how he transitioned from working in show business to the financial sector and shares his experiences of stereotypes in the banking world. 00:29:11 - Application of Behavioral Science Jeff talks about how he utilized behavioral science in his role at JP Morgan, focusing on client engagement, advisor empowerment, and financial innovation. 00:31:23 - Perspective on AI and Behavioral Science Jeff shares his insights on the intersection of AI, data, and behavioral science, emphasizing the importance of AI as a tool rather than a dispositive decision maker. 00:32:45 - Adoption of Behavioral Science Jeff discusses the challenges of introducing behavioral science in a large organization and highlights the value it adds in various contexts. 00:38:41 - Optimism for Behavioral Science Jeff emphasizes the significance of maintaining optimism for the field of behavioral science and the value it brings to individuals, organizations, and governments. He also shares his contact information for those interested in connecting with him. 00:40:59 - The Kindness of the Behavioral Science Community The field of behavioral science is filled with kind and generous people who are willing to help others. Whether virtually or through social media, the community is inviting and supportive, providing thoughtful responses to those who seek help. 00:41:43 - Conclusion What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Connect with Jeff: Jeff's site LinkedIn X Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Dollars and Sense, by Dan Ariely and Jeff Kreisler Get Rich Cheating, by Jeff Kreisler Predictably Irrational, by Dan Ariely Engaged, by Amy Bucher Behavioural Investing, by James Montier Top Recommended Next Episode: Daniel Crosby Interview (ep 212) Already Heard That One? Try These:  Relativity (ep 12) Dan Ariely Interview (ep 101) Hindsight Bias (ep 167) Chuck Howard Interview (ep 213) Framing (ep 296) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

In this episode, we are joined by renowned expert Abby Sussman to unpack how individuals form judgments and make decisions about their finances. Abby is a distinguished professor of marketing at the University of Chicago Booth School of Business whose expertise lies at the intersection of psychology, economics, and finance. In our conversation, we discuss the nuances of financial decision-making and how personal beliefs influence our financial choices. Discover the source of reference points for financial well-being and how expense prediction biases play a role in making poor financial decisions. We explore the effectiveness of budgeting, the nuances of product sensitivity, and the drivers of excessive consumer consumption. Gain insights into navigating the complexities of financial decision-making, the psychology behind it, how AI can help you make better financial decisions, and much more. Tune in to gain a deeper understanding of the psychology behind financial decisions and uncover strategies to optimize your financial future with Abby Sussman!   Key Points From This Episode:   (0:04:45) Explore the difference in how we perceive others' wealth versus our own. (0:08:25) Drivers of the differences in perception and their impact on financial decision-making. (0:11:43) Steps to reduce excessive consumption and how personal future wealth perceptions influence financial decision-making. (0:16:58) Discover the source of the reference point people use when considering their wealth. (0:18:53) How to make better financial decisions and the role of peoples' expectations. (0:20:20) Unpack expense prediction bias and the problems it creates. (0:22:55) Methods used to predict expenses and what people typically budget for. (0:29:00) Pragmatic advice for reducing the influence of expense prediction bias. (0:31:53) Whether prediction bias manifests in long-term planning, such as retirement. (0:33:14) Find out if setting a budget is common practice and how it impacts financial health. (0:37:36) Trends in actual spending in relation to expenses budgeted for. (0:39:31) She explains how people categorize expenses and react to insufficient funds. (0:42:40) Product sensitivity and how attitudes toward investment products vary. (0:48:21) Interventions to help people choose better financial products. (0:49:40) Areas of research she is most interested in and her opinion on the role of AI. (0:55:54) Abby shares her definition of success.   Links From Today's Episode: Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder Website — https://rationalreminder.ca/  Rational Reminder on Instagram — https://www.instagram.com/rationalreminder/ Rational Reminder on X — https://twitter.com/RationalRemind Rational Reminder on YouTube — https://www.youtube.com/channel/ Rational Reminder Email — info@rationalreminder.ca Benjamin Felix — https://www.pwlcapital.com/author/benjamin-felix/  Benjamin on X — https://twitter.com/benjaminwfelix Benjamin on LinkedIn — https://www.linkedin.com/in/benjaminwfelix/ Cameron Passmore — https://www.pwlcapital.com/profile/cameron-passmore/ Cameron on X — https://twitter.com/CameronPassmore Cameron on LinkedIn — https://www.linkedin.com/in/cameronpassmore/ Abby Sussman on LinkedIn — https://www.linkedin.com/in/abigail-sussman-ab4427/ Abby Sussman on X — https://twitter.com/abbysussman The University of Chicago Booth School of Business — https://www.chicagobooth.edu/ Society for Judgment and Decision Making — https://sjdm.org/ Episode 153: Prof. Johanna Peetz — https://rationalreminder.ca/podcast/153 Epidose 296: Adam Alter — https://rationalreminder.ca/podcast/296 Panel Study of Income Dynamics — https://psidonline.isr.umich.edu/ Consumer Financial Protection Bureau — https://www.consumerfinance.gov/   Papers From Today's Episode:    ‘Understanding and Neutralizing the Expense Prediction Bias: The Role of Accessibility, Typicality, and Skewness' — https://doi.org/10.1177/00222437211068025 ‘The Exception Is the Rule: Underestimating and Overspending on Exceptional Expenses' — https://doi.org/10.1086/665833 ‘The Role of Risk Preferences in Responses to Messaging About COVID-19 Vaccine Take-Up' — https://doi.org/10.1177/1948550621999622 ‘The Role of Mental Accounting in Household Spending and Investing Decisions' — https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3051415 ‘How Consumers Budget” — https://doi.org/10.1016/j.jebo.2022.09.025 ‘Financial Product Sensitivity Predicts Financial Health' — https://doi.org/10.1002/bdm.2142

Have you ever noticed that spending cash is harder than using a credit card? You are not imagining things. Different payment methods carry varying degrees of discomfort when used.    Cash tends to have the most painful impact, followed by checks. Credit cards offer a lesser discomfort than cash or checks. With advancements in payment technologies like contactless cards or smartphone transactions, the potential exists for these methods to generate even less discomfort than traditional credit cards.    So, how can businesses leverage these insights into payment methods to assist customers in handling their emotional response to spending?   To put it simply, the answers lie in Mental Accounting and Reframing.   Mental Accounting plays a pivotal role in how customers navigate their emotions regarding spending. It serves to alleviate guilt and elevate happiness in spending scenarios. Thus, it's crucial to consider mental accounting within the broader context of managing customers' emotional experiences.   In this episode, we explore where your customers are emotionally relative to the purchases they make and how guiding them to an improved mental accounting from your business perspective is essential. It turns out that messages that acknowledge and address customers' emotional responses to spending can be a powerful strategy in enhancing their overall satisfaction and engagement during transactions. Here are some other key moments in the discussion:   04:09  Ryan explains how money can be spent on anything, however the biases we create using mental accounting help us manage our emotions regarding our spending.  07:20  Colin associates a podcast with Joe Pine regarding how customers value their time in experiences differently depending on the type of timed transaction it is.    17:43  We discuss the importance of understanding what mental accounting your customers are using and working with that to help them feel more satisfaction with their purchase. 21:08  We explore how financing in the mix can change the spending experience for customers.   28:09  We share the key takeaways from Mental Accounting and how you can leverage it to improve your experiences with customers. About Colin Shaw LinkedIn recognizes Colin Shaw as one of the 'World's Top 150 Business Influencers.' As a result, he has over 294,000 followers and 78,000 subscribers to his LinkedIn newsletter ‘Why Customers Buy'. The Financial Times selected Beyond Philosophy as one of the best management consultancies for four years.  Colin is a renown keynote speaker and undertakes consultancy work and educational workshops to help organizations improve their Customer Experience.    Click here to learn more about Professor Ryan Hamilton of Emory University.  How can we help? Click here to learn more about Beyond Philosophy's Suite of Services.   Please tell us how we are doing! Complete this short survey.   

Have you ever noticed that spending cash is harder than using a credit card? You are not imagining things. Different payment methods carry varying degrees of discomfort when used.    Cash tends to have the most painful impact, followed by checks. Credit cards offer a lesser discomfort than cash or checks. With advancements in payment technologies like contactless cards or smartphone transactions, the potential exists for these methods to generate even less discomfort than traditional credit cards.    So, how can businesses leverage these insights into payment methods to assist customers in handling their emotional response to spending?   To put it simply, the answers lie in Mental Accounting and Reframing.   Mental Accounting plays a pivotal role in how customers navigate their emotions regarding spending. It serves to alleviate guilt and elevate happiness in spending scenarios. Thus, it's crucial to consider mental accounting within the broader context of managing customers' emotional experiences.   In this episode, we explore where your customers are emotionally relative to the purchases they make and how guiding them to an improved mental accounting from your business perspective is essential. It turns out that messages that acknowledge and address customers' emotional responses to spending can be a powerful strategy in enhancing their overall satisfaction and engagement during transactions. Here are some other key moments in the discussion:   04:09  Ryan explains how money can be spent on anything, however the biases we create using mental accounting help us manage our emotions regarding our spending.  07:20  Colin associates a podcast with Joe Pine regarding how customers value their time in experiences differently depending on the type of timed transaction it is.    17:43  We discuss the importance of understanding what mental accounting your customers are using and working with that to help them feel more satisfaction with their purchase. 21:08  We explore how financing in the mix can change the spending experience for customers.   28:09  We share the key takeaways from Mental Accounting and how you can leverage it to improve your experiences with customers. About Colin Shaw LinkedIn recognizes Colin Shaw as one of the 'World's Top 150 Business Influencers.' As a result, he has over 294,000 followers and 78,000 subscribers to his LinkedIn newsletter ‘Why Customers Buy'. The Financial Times selected Beyond Philosophy as one of the best management consultancies for four years.  Colin is a renown keynote speaker and undertakes consultancy work and educational workshops to help organizations improve their Customer Experience.    Click here to learn more about Professor Ryan Hamilton of Emory University.  How can we help? Click here to learn more about Beyond Philosophy's Suite of Services.   Please tell us how we are doing! Complete this short survey.   

Dr. Feldman on MENTAL ACCOUNTING - Avapritinib for systemic mastocytosis - IL-17-blockers: smaaaaall risk of IBD - Dermasphere clip show: Episodes 111-119! - Want to donate to the cause? Do so here! http://www.uofuhealth.org/dermasphere Check out our video content on YouTube: https://www.youtube.com/@dermaspherepodcast and VuMedi!: https://www.vumedi.com/channel/dermasphere/ The University of Utah's Dermatology ECHO: ⁠⁠https://physicians.utah.edu/echo/dermatology-primarycare - ⁠⁠Connect with us! - Web: ⁠https://dermaspherepodcast.com/⁠ - Twitter: @DermaspherePC - Instagram: dermaspherepodcast - Facebook: https://www.facebook.com/DermaspherePodcast/ - Check out Luke and Michelle's other podcast, SkinCast! ⁠https://healthcare.utah.edu/dermatology/skincast/⁠ Luke and Michelle report no significant conflicts of interest… BUT check out our friends at: - ⁠Kikoxp.com ⁠(a social platform for doctors to share knowledge) - ⁠https://www.levelex.com/games/top-derm⁠ (A free dermatology game to learn more dermatology!)

In this episode of The Brainy Business podcast, you'll hear from guest Meghaan Lurtz, a finance and psychology expert, who is dedicated to improving communication skills, particularly in the context of difficult conversations surrounding money. She believes that the challenge lies not in the topic itself, but in what it represents in society and the shame associated with it. Meghaan's passion lies in helping individuals become skilled communicators who can ask thoughtful questions that support and connect with others.  Through her work as a professor, she has witnessed the transformative power of asking questions in various settings, including personal relationships and financial planning. Meghaan emphasizes the importance of follow-up questions, which not only enhance understanding but also make individuals more likable. She also highlights the significance of phrasing questions in a way that promotes safety and avoids confrontations. By focusing on effective communication strategies, Meghaan aims to improve relationships and foster deeper connections among individuals. In this episode: Discover the small changes in communication style that can have a significant impact on your interactions. Enhance relationships and deepen understanding through the power of asking thoughtful questions. Utilize body language and posture to create a positive and receptive atmosphere for effective communication. Deepen connections and understanding by using techniques such as reflection, labeling, and scaling questions. Understand the importance of establishing a strong and safe relationship before offering advice or solutions. Show Notes: 00:00:00 - Introduction, In this episode, Melina Palmer introduces Megaan Lurtz, a writer and senior research associate who specializes in the intersection of finance and psychology. Meghaan shares her expertise on communication skills and the challenges of discussing money. 00:04:06 - Why People Hate Talking About Money, Meghaan explains that money is a difficult topic to discuss due to the various emotions and judgments associated with it. People often feel shame or judgment when talking about their financial situation, making it a taboo subject. 00:06:09 - The Power of Scaling Questions, Scaling questions are a powerful tool for communication. Meghaan describes how scaling questions can be used to gauge someone's feelings or experiences on a scale of 1 to 10 and then follow up with why they didn't choose a lower number. This technique helps shift the focus to positive aspects and improves overall communication. 00:09:40 - The Impact of Follow-Up Questions, Meghaan shares a study conducted on speed daters, which found that the most significant factor in securing a second date was asking engaging follow-up questions. Follow-up questions that keep the conversation focused on the other person make individuals more likable and improve connections. 00:14:44 - The Importance of Listening, Active listening is crucial for effective communication. Meghaan emphasizes the importance of genuinely listening to others, without distractions or interruptions. 00:15:13 - The Power of Communication, The way we communicate can have a significant impact on how others respond to us. Small changes in our communication style can lead to either a positive or contentious response. Nonverbal cues, such as body language and posture, also play a crucial role in effective communication. 00:16:38 - Finding the Right Balance, Communication styles differ from person to person, and it's important to find the right balance that works for each individual. Experimenting and testing different approaches can help determine what feels comfortable and yields the best response. 00:18:41 - Asking Interesting Questions, The way we ask questions can make a significant difference in the depth of communication. Simple changes, like asking follow-up questions that reflect genuine interest, can lead to more meaningful and engaging conversations. 00:22:43 - Getting to the Deeper Meaning, Rather than sticking to surface-level facts, it's essential to delve deeper into the meaning and feelings behind people's responses. By asking reflective questions and exploring emotions, we can create stronger connections and foster better understanding. 00:26:18 - The Importance of Connection, Building strong connections is crucial in all relationships, whether personal or professional. Without a solid foundation and safe space for communication, advice and recommendations may not be effectively received or acted upon. Communication and connection go hand in hand. 00:30:22 - The Importance of Questions in Communication, Questions serve a purpose beyond just seeking answers. They can help create a more comfortable and open conversation, leading to deeper connections and understanding between people. 00:31:32 - The Power of Communication in Healing, Research has shown that individuals with positive relationships heal faster when faced with physical injuries. Good communication, expressing love and care, can make us superhuman and have a significant impact on our well-being. 00:34:00 - The Value of Teaching Communication Skills, Instead of focusing solely on academic subjects, teaching communication skills such as asking open-ended questions, reflective listening, and labeling can be more useful in improving relationships and changing lives. 00:36:02 - Effective Questioning Techniques, Mirroring, where you repeat back what the person said, and labeling, where you identify and reflect their emotions, are powerful questioning techniques that show genuine interest and encourage further conversation. 00:38:20 - The Impact of Questions on Energy and Focus, Questions can influence where people direct their attention and effort. By encouraging others to focus on positive aspects or different perspectives, we can help shift energy and improve relationships and outcomes. 00:45:04 -  Conclusion, Melina's top insights from the conversation. What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Connect with Meghaan:  Follow Meghaan on Twitter  Follow Meghaan on LinkedIn  Meghaan's Faculty Page at Columbia Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: A More Beautiful Question, by Warren Berger Listen Like You Mean It, by Ximena Vengoechea The Hype Handbook, by Michael F. Schein You're Invited! by Jon Levy Magic Words, by Jonah Berger Top Recommended Next Episode: A More Beautiful Question, with Warren Berger (ep 340) Already Heard That One? Try These:  Common Mistakes in Personal Finance, with Chuck Howard (ep 213) Mental Accounting (ep 282) Why Every Business Needs to Care About Personal Finances (ep 283) A More Just Future, with Dolly Chugh (ep 247) Hype: What It Is And Why You Need More Of It (ep 143) Magic Words, by Jonah Berger (ep 301) Can Behavioral Economics Increase Savings? (ep 65) Having Difficult Conversations at Work, with Kwame Christian (ep 107) The Power of Human Connection, with Nick Epley (ep 265) Framing (ep 296) You're Invited! with Jon Levy (ep 348) How To Ethically Influence People, with Brian Ahearn (ep 104) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

In this episode of The Brainy Business podcast, you'll hear an insightful interview with Vishal George, a behavioral scientist and author of the book Money Mindsets. Vishal's expertise lies in combining behavioral science with human-centered design and systems thinking. He shares examples of his work, including a project in New Zealand aimed at reducing businesses' carbon emissions by using the messenger effect of young people's voices.  The conversation then delves into the importance of understanding our own money stories and how they shape our financial behavior. Vishal emphasizes the need to break the taboo surrounding money conversations and draws inspiration from children's natural curiosity about money. The episode explores the intersection of behavioral science and personal finance, providing practical insights for improving financial well-being. Whether you're looking to make better financial decisions or increase your savings, this episode offers valuable strategies and perspectives. In this episode: Gain insights from behavioral science to make better financial decisions and improve your financial well-being. Break the stigma around money by engaging in open and honest conversations, leading to a healthier relationship with your finances. Cultivate curiosity to enhance your financial decision-making skills, allowing you to make informed choices that align with your financial goals. Design financial products and services that take into account human behavior, ultimately helping you achieve your financial objectives more effectively. Explore the benefits of creating spaces for open conversations about money and financial goals, fostering a supportive community that empowers individuals to take control of their finances. Show Notes: 00:00:00 - Introduction, Melina welcomes Vishal George to The Brainy Business podcast to discuss his book Money Mindsets and his work as a behavioral scientist. 00:03:57 - Using Behavioral Science to Reduce Carbon Footprints, Vishal shares an example of a project where he worked with the government of New Zealand to reduce businesses' carbon emissions. By designing experiments and testing different strategies, they discovered that the messenger effect, particularly the voice of the next generation, was the most effective in motivating businesses to reduce their carbon footprint. 00:09:16 - The Power of Testing High-Risk Ideas, Vishal emphasizes the importance of testing high-risk ideas, even if they may seem unconventional or counterintuitive. By pushing the boundaries and exploring extreme ideas, it becomes easier to find the middle ground and identify innovative solutions. 00:12:10 - The Inspiration Behind Money Mindsets, Vishal explains that his inspiration for writing Money Mindsets was to provide a positive and impactful resource for individuals, particularly young males, to explore emotions, feelings, and empathy through the topic of money. The book aims to help readers understand their own emotions surrounding money and empathize with others in different circumstances. 00:13:54 - The Emotional Aspect of Money, Vishal discusses how money evokes various emotions in people and how understanding these emotions can lead to a healthier relationship with money. He emphasizes the importance of exploring and acknowledging our emotions surrounding money in order to be more financially informed. 00:18:53 - Importance of Breaking Through the Stigma Around Money, Vishal discusses the importance of breaking through the stigma surrounding money and suggests that cultivating curiosity about money can help individuals make more intentional financial decisions. He also mentions the abundance of financial products and services that can lead to overspending. 00:21:38 - Two Types of Curiosity and Building Financial Knowledge, Vishal explains the two types of curiosity: diversity curiosity and epistemic curiosity. He suggests that building curiosity about money and related topics can help individuals make better financial decisions. He recommends clustering reading on topics like saving, spending behaviors, habits, motivation, and behavior change. 00:25:06 - Visible Spending and Invisible Saving, Vishal discusses the shift from visible saving in the past to visible spending in the present. He highlights how technologies and digital currency have made spending behaviors more visible while saving behaviors remain invisible. He emphasizes the need to talk more openly about saving to reduce stigma and foster motivation. 00:27:16 - Overcoming Challenges in Talking About Money, Vishal addresses the challenge of talking about money, particularly when it comes to accomplishments like being debt-free. He acknowledges the fear of bragging or making others feel inadequate, but emphasizes the importance of sharing positive financial experiences to break the cycle of assumption and encourage others to pursue financial goals. 00:36:31 - Designing Products and Services for Human Behavior, The conversation begins by discussing two approaches to designing products and services with consideration for human behavior. The first approach focuses on removing barriers and making it easier for people to achieve their goals. The second approach explores the motivation and factors that drive individuals to set and achieve their goals. 00:37:30 - The Challenge of Saving Money, The conversation shifts to the challenge of saving money and the difficulty in resisting one-time expenses. Vishal shares a story about a person named Kaya who struggles to save money due to various events and temptations. This highlights the need for financial institutions to create products and tools that make saving money as easy as spending money. 00:40:34 - Creating Products that Facilitate Saving, Vishal discusses the importance of balancing spending and saving by creating products that make saving money just as easy as spending money. An example is given of a bank that offers a program called "Save the Change" which automatically rounds up purchases and transfers the spare change to a savings account. This removes friction and encourages saving. 00:42:14 - The Role of Friction in Breaking Habits, The conversation explores the role of friction in breaking habits. While removing friction can make it easier to save money, adding some friction can help evaluate the necessity of certain actions. An example is given of introducing a process for employees to justify business travel, which adds a little bit of friction to assess if the travel is truly necessary. 00:45:49 -  Conclusion, Melina's top insights from the conversation. What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Connect with Vishal: Follow Vishal on LinkedIn Behavioural by Design website Money Mindsets book page Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Money Mindsets, by Vishal George Get It Done, by Ayelet Fishbach Engaged, by Amy Bucher Designing for Behavior Change, by Steve Wendel Your Future Self, by Hal Hershfield Top Recommended Next Episode: Pain of Paying (ep 240) Already Heard That One? Try These:  Common Errors in Financial Decision Making, with Chuck Howard (ep 213) Mental Accounting (ep 282) Why Every Business Needs To Care About Personal Finance, with Merle van den Akker (ep 283) Sustainable Nudges at Walmart (ep 206) Framing (ep 296) Saving Peru's Environment One Nudge at a Time (ep 195) Corporate Social Responsibility Programs that Work (ep 211) Engaged, with Amy Bucher (ep 164) Designing for Behavior Change, with Steve Wendel (ep 116) Priming (ep 252) Herding (ep 264) The Power of Metaphor, with Olson Zaltman (ep 181) A More Beautiful Question, with Warren Berger (ep 200) Get It Done, with Ayelet Fishback (ep 332) Time Discounting (ep 328) Your Future Self, with Hal Hershfield (ep 329) Social Proof (ep 87) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

It's happened to all of us - you found some money - what do you do with it? Join me as I recount an intriguing experiment I conducted on the streets to explore people's spending choices when given $100 with no strings attached - the answers may surprise you. In this episode, I'm delving into a topic rarely discussed but profoundly impactful: Mental Accounting is the behavioral observation of how you assign different rules and limits to money based upon the source of that money. Inspired by biblical wisdom and offering practical steps, we'll discuss how to break free from the confusion of mental accounting and embrace a holistic, God-honoring approach to stewardship. Let's align our financial choices with God's wisdom for a more abundant and impactful life in His kingdom!In this episode, John discusses: The hidden world of mental accounting and how people allocate unexpected moneyAnalyzing the impact of cognitive biases on financial decision-makingNavigating mental accounting in financial planningFinding financial alignment through faithKey Takeaways:By understanding and challenging our instinctive responses to money, we can break free from the confines of mental accounting, paving the way for smarter, more abundant financial choices.Instead of compartmentalizing income into separate mental accounts, consolidating and viewing all sources of money as one entity allows for a cohesive financial strategy rooted in biblical wisdom, ensuring faithful stewardship.A solid financial plan, infused with biblical values, involves careful consideration of spending, saving, investing, and seeking wise counsel, and more, empowering individuals to make consistent and aligned choices.Intertwining prayer with financial decisions cultivates alignment with God's heart, mind and provision, guiding you toward holistic and God-honoring choices, reinforcing the truth that prayer is your most powerful tool in your financial stewardship.“As we dug into this behavioral financial issue called mental accounting, it's basically just applying different rules and specifications and limits based on different sources of income and when you do that, it creates a very confusing model rather than keeping everything in a holistic and aligned fashion to make wise and faithful choices that are not only for your best life and your wise and faithful stewardship, but also for honoring God, His kingdom, and His plans.”Additional resources:Get your free “Get Recession Ready” mini-course at https://changeforyourdollar.com/Free Goal Achievement Supercharger Lessons & WorksheetsLet's continue the conversation! Connect to Smarter Stewardship at https://smarterstewardship.com/ and gain access to resources that will help you stay in the loop for resources that will actively help you shape your financial future.If you're interested in growing in your faith, wealth, and life, visit https://changeforyourdollar.com/ for all the tools you need from coaching and speaking to my latest book, He Spends, She Spends!If this blessed you today, please Subscribe, Leave a Review, and Share with someone who you believe will benefit from this message!Contact John:Website: https://changeforyourdollar.com/Website: https://smarterstewarship.comInstagram: https://www.instagram.com/smarterstewardshipFacebook: https://www.facebook.com/smarterstewardship

In episode 325 of The Brainy Business podcast, host Melina Palmer interviews Christian Madsbjerg, author of the book Look and an expert in human observation. Madsbjerg discusses the importance of observation in understanding human behavior and helping organizations make better decisions. He emphasizes that many companies make big mistakes by not asking the right questions and relying too heavily on data abstractions and groupthink. According to Madsbjerg, companies need to constantly study the questions that are most meaningful in their industry in order to stay relevant and successful. Christian highlights the necessity of observing and describing social phenomena before forming opinions and challenges individuals and companies to question their assumptions. Madsbjerg introduces the concept of hyper-reflection, which involves analyzing how people pay attention, to gain deeper insights into human behavior. The conversation provides valuable insights into the power of observation and description in understanding the world around us and making more informed decisions. In this episode: Recognize the critical importance of keen observation in comprehending complex human behavior. Learn about the pitfalls and misleading aspects of treating the human brain like a digital interface. Delve into the influence and impact of societal constructs on human behavior. Harness the capacity of hyper-reflection to delve deeper into your own thoughts and perceptions. Appreciate the added value of integrating observational techniques into scientific enquiry. Show Notes: 00:00:00 - Introduction to Christian Madsbjerg and his Background Melina introduces Christian Madsbjerg, the author of the book Look, and discusses his background in utilizing observation techniques to help organizations better understand human behavior. 00:02:45 - The Importance of Asking the Right Questions Asking the right questions makes a huge difference for companies. They discuss the dangers of jumping into problem-solving mode without fully understanding the problem. Christian explains how companies that fail to constantly study meaningful questions often struggle to adapt and remain successful in their industries. 00:07:49 - The Class on Human Observation Christian shares his experience creating and teaching a class on human observation at the New School in Manhattan. The class focused on using observation techniques inspired by philosophy and anthropology to study social phenomena. He explains that the book is a reflection of that class, allowing more people to learn about observation. 00:11:50 - The Journey of Observation and Curiosity Christian discusses his natural inclination towards observation and curiosity. He reflects on how studying philosophy and different historical perspectives helped him develop a deeper understanding of the assumptions we make about the world. He emphasizes the importance of observing without preconceived opinions and describes observation as a technique for scrutinizing our own assumptions. 00:14:49 - Perception and Intuition Christian challenges the misconception that humans perceive the world as atomistic data. He explains that humans perceive things holistically, seeing things as part of a larger social context rather than as individual data points. He highlights the importance of understanding the relationship 00:18:17 - The Danger of Comparing Computers to Human Brains, Comparing computers to human brains can lead to a misunderstanding of what it means to be human. Humans are not just intellectual beings; much of our experience and understanding comes from our bodies and the spaces we inhabit. 00:19:55 - The Problem with Having Strong Opinions, Having strong opinions about everything can create a filter between us and the world. It prevents us from seeing things objectively and directly, as we interpret everything through a political or opinionated lens. 00:21:54 - The Importance of Describing Social Phenomena, In order to better understand the world and the work we do, we need to study and describe the social phenomena at the center of our work. By understanding the context and dynamics of a situation, we can provide better advice and make more informed decisions. 00:25:30 - Case Study: Observing Fundraising Strategies, By observing people in the streets trying to raise funds for the white rhinos, a student learned valuable lessons about effective fundraising. He discovered that gentle and subtle approaches were much more successful than aggressive or shaming tactics. 00:30:44 - The Power of Hyper Reflection, Hyper-reflection is a type of attention that allows us to observe how others pay attention. By practicing hyper-reflection, we can better understand the dynamics and behaviors of people and organizations, leading to innovation and positive change. 00:35:36 - The Importance of Observation and Description, Christian discusses the importance of observing and describing social phenomena in order to gain insight and break down biases and prejudices. He emphasizes the value of feeling connected to the world and having a direct relationship with it. 00:37:35 - Building Trust and Observing Humans, Melina mentions how this work reminds her of an Apple Fitness' “Time To Walk” episode with Jane Goodall she recently listened to. Christian draws a parallel between Jane Goodall's observations of chimpanzees and his own observations of humans. He highlights the need to build trust with people in order to accurately describe and understand group dynamics and assumptions. 00:40:11 - Different Perspectives on the Same Phenomena, Christian recognizes that he and Melina approach the same phenomena from different angles, with behavioral science and cognitive science on one side and philosophical perspectives on the other. They agree on the importance of diverse methods and techniques in gaining insight. 00:42:33 - Observation in Science, Christian and Melina discuss the role of observation in scientific breakthroughs and paradigm shifts. They agree that observation is at the heart of good science and that scientists should incorporate more observation into their work. 00:44:50 - Conclusion, Melina's top insights from the conversation. What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Look, by Christian Madsjberg Sensemaking, by Christian Madsjberg The Moment of Clarity, by Christian Madsjberg A More Beautiful Question, by Warren Berger Both/And Thinking, by Wendy Smith and Marianne Lewis Connect with Christian:  Follow Christian on LinkedIn Christian's website Top Recommended Next Episode: How Minds Change, with David McRaney (ep 210) Already Heard That One? Try These:  For The Culture, with Marcus Collins (ep 305) Survivorship Bias (ep 110) What Problem Are You Solving? (ep 126) Mental Accounting (ep 282) What is Cognitive Semiotics? (ep 259) Using Semiotics in Retail, with Rachel Lawes (ep 191) Non-Obvious Thinking, with Rohit Bhargava (ep 297) Habits (ep 256) Solving Modern Problems with a Stone-Age Brain (ep 237) Confirmation Bias (ep 260) Biases Toward Others – Including Groups (ep 314)  Fundamental Attribution Error (ep 268) The Overwhelmed Brain and Its Impact on Decision Making (ep 32) Functional Fixedness (ep 194) A More Beautiful Question, with Warren Berger (ep 200) Evolutionary Ideas, with Sam Tatam (ep 204) Focusing Illusion (ep 89) Anthropology, Market Research and BE, with Priscilla McKinney (ep 196) Using Ethnography in Business (ep 324) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

Dr. Vanessa Patrick, a respected marketing professor at the University of Houston's Bauer College of Business, is revered for her notable research on the psychology of saying no. This research acts as the foundation of her book, The Power of Saying No. The seemingly simple act can be a strenuous inner struggle, but Vanessa insists it's an essential skill for preserving personal dignity and establishing a balanced life. Understanding the psychology behind our hesitance to refuse can liberate individuals from overcommitment and enable them to set healthier boundaries. In her conversation with Melina Palmer, Vanessa articulated that the challenge of saying no often stems from our fear of negatively impacting relationships or tarnishing our reputation. However, people's constant attempt to please others leads them to become a pushover, gradually erasing their individuality. Vanessa conveyed that saying no (using her method of empowered refusal) allows you to not just create and uphold your unique identity but also to avoid turning into a person who mindlessly accepts every request. In this episode: Discover the influence of saying no and how it enhances the quality of relationships and life. Learn actionable strategies to establish personal boundaries and become uncompromisingly committed to them. Recognize the primary function of personal motivations and beliefs in setting energized refusal. Grasp the dilemma of saying no in contrasting situations and the art of diluting social pressure. Acquaint yourself with the principle of opportunity cost and its immense relevance to making mindful trade-offs. Show Notes: 00:00:00 - Introduction, Dr. Vanessa Patrick is the author of The Power of Saying No and a professor of marketing. Her research focuses on understanding why people struggle with saying no and the importance of setting boundaries. In this episode, she discusses the dual drivers behind saying yes when we want to say no. 00:05:39 - The Fear of Saying No, Dr. Patrick explains that the fear of saying no stems from our desire to be liked and our concern for our reputation. We often say yes to maintain relationships and be seen as competent. However, saying no strategically can actually help us develop our unique skills and be known for our expertise. 00:07:50 - The Motivation Behind Studying Saying No, Dr. Patrick shares that her initial research focused on self-discipline and resisting temptation through self-talk. After publishing her findings, she realized the widespread struggle with saying no and the importance of understanding how to say no effectively. This led her to further explore the topic and eventually write her book. 00:11:25 - The Power of "Don't" vs. "Can't" Dr. Patrick introduces the concept of using "don't" instead of "can't" when saying no. By saying "I don't" instead of "I can't," we appear more empowered and in control. This small shift in language can make a significant difference in how others perceive our refusal. 00:16:05 - Building Personal Policies, Vanessa Patrick discusses the importance of reflecting on our beliefs and values to establish personal policies that guide our actions and decisions. These policies, similar to mental budgets, help us stick to our desired goals and make it easier to say no in various situations. 00:18:04 - Being the "Kind of Person" Who Says No, Vanessa emphasizes the power of framing our decisions as reflections of our identity. By saying "I'm the kind of person who..." we can effectively communicate our boundaries and say no more effectively. 00:19:26 - Navigating Asks in the Workplace, Vanessa provides a framework for deciphering asks in the workplace. She distinguishes between urgent and important tasks that require immediate action, and non-promotable tasks that may distract from our main responsibilities. She highlights the importance of balancing participation in non-promotable tasks and ensuring fairness in task distribution. 00:23:24 - Finding Value in Non-Promotable Tasks, Vanessa acknowledges that some individuals may find value in non-promotable tasks, such as party planning, as it aligns with their personal interests or provides visibility. However, she encourages individuals to ensure they are not solely responsible for these tasks and to create an environment where everyone's strengths are leveraged. 00:27:28 - Reframing Saying No, Vanessa reminds us that saying no is not a rejection of the person making the request, but a refusal of the ask. By reframing our mindset, saying no can become much easier. 00:32:25 - Is It A Salt or Lasagna Ask?, Vanessa explains the concept of "pass the salt" asks, which are easy and low-cost requests that can have a high benefit for the person asking. She also introduces the idea of "bake your famous lasagna" asks, which are requests that are costly for the person asked but have no real impact. Vanessa emphasizes the importance of saying no to these types of asks and prioritizing the "Hero's Journey" asks that make a difference in the world. 00:35:13 - Opportunity Cost and Saying No, Vanessa discusses the concept of opportunity cost and how every time we say yes to something, we are saying no to other opportunities. She highlights the need to intentionally consider the opportunity cost of our decisions and the importance of saying no to things that don't align with our values and goals. 00:37:10 - The (Non)Selfishness of Saying No, Vanessa challenges the notion that saying no is selfish, explaining that it is actually selfish for someone to ask us to do something that doesn't matter to us or leverage our strengths. She encourages individuals to recognize their right to say no and not feel guilty about it. 00:38:02 - Tips and Resources for Saying No, Melina mentions that Vanessa's book provides valuable tips and strategies for saying no, especially in different situations such as with bosses. Vanessa emphasizes the power of an empowered refusal, which effectively conveys your stance based on your values and priorities. She encourages individuals to own their no's and not make excuses or be wishy washy -- own those nos! 00:39:04 - Conclusion, Melina's top insights from the conversation. What stuck with you while listening to the episode? What are you going to try? Come share it with Melina on social media -- you'll find her as @thebrainybiz everywhere and as Melina Palmer on LinkedIn. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: The Power of Saying No, by Vanessa Patrick Influence Is Your Superpower, by Zoe Chance You Have More Influence Than You Think, by Vanessa Bohns Magic Words, by Jonah Berger What Your Employees Need and Can't Tell You, by Melina Palmer Connect with Vanessa:  Vanessa on Twitter Follow Vanessa on LinkedIn Vanessa's Website Top Recommended Next Episode: Influence Is Your Superpower, with Zoe Chance (ep 308) Already Heard That One? Try These:  Behavioral Science in the Wild, with Dilip Soman (ep 241) Framing (ep 296) You Have More Influence Than You Think, with Vanessa Bohns (ep 197) Influence, with Robert Cialdini (ep 157) Getting Along, with Amy Gallo (ep 269) A More Just Future, with Dolly Chugh (ep 247) Priming (ep 252) Framing (ep 296) Magic Words, with Jonah Berger (ep 301) Game Theory (ep 228) Inequity Aversion (ep 224) Mental Accounting (ep 282) Get It Done, with Ayelet Fishbach (ep 186) Defaults (ep 38) Subtract, with Leidy Klotz (ep 162) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

“The human brain is actually wired to trip us up, to shoot ourselves in the foot when it comes to money and investing. A little bit of self-examination can help pull us out of these knee-jerk reactions.”   Prepare for a knowledge voyage as our hosts Stephanie McCullough and Kevin Gaines redefine retirement for women, bringing insights from behavioral finance, a fascinating field that explores how we make decisions around money. By the end of this episode, you'll have a deeper understanding of financial behaviors and how to make smarter choices.   Our hosts dissect the concept of the gambler's fallacy to shed light on their own decision-making patterns, with Kevin sharing a personal anecdote to highlight its real-life impact. Following that, prepare for a compelling discussion on mental accounting, a concept that will change how you view your money's value depending on its source. Our hosts explore a study that reveals intriguing patterns in spending "found money" versus hard-earned cash. To wrap up, they look at practical ways to leverage mental accounting in creating a budget and improving your chances of financial success. This episode is a journey toward financial empowerment.         Key Topics: Intro to Behavioral Finance (01:58) Biases (06:21) Recency Bias (AKA Availability Bias) (14:32) Mental Accounting (17:30) Flipping These Findings to Our Advantage (Action Steps) (24:43)         Resources: Predictably Irrational (book) Seinfeld Skit: Even Steven       If you like what you've been hearing, we invite you to subscribe on your favorite platform and leave us a review. Tell us what you love about this episode! Or better yet, tell us what you want to hear more of in the future. stephanie@sofiafinancial.com   You can find the transcript and more information about this episode at www.takebackretirement.com.   Follow Stephanie on Twitter, Facebook, YouTube and LinkedIn.  Follow Kevin on Twitter, Facebook, YouTube and LinkedIn.

BEHAVIORAL FINANCE SERIES: MENTAL ACCOUNTING BIAS FROM BALTIMORE WASHINGTON FINANCIAL ADVISORS with Sandy Hornor | CEPS Managing Director, Wealth Management & Executive Manager, BWFA and special guests Tyler Kluge | CFP®, CPWA®, CDFA®, CEPS Financial Planner, BWFA Joseph DePatie |... Read More The post EP24: Behavioral Finance Series – Mental Accounting Bias – 6.28.23 first appeared on Baltimore Washington Financial Advisors. The post EP24: Behavioral Finance Series – Mental Accounting Bias – 6.28.23 appeared first on Baltimore Washington Financial Advisors.

How can incentives be more effective by considering the signals they send? What role do mixed signals play in shaping behaviour? How can incentives be designed to align with desired outcomes and intentions?What are the misconceptions and pitfalls in marketing and designing incentives? What is the role of common sense. (chief common sense officer) in aligning incentives with strategic goals and foster a cooperative environment ? How does self-signaling and self-identity impact the effectiveness of incentives? How do we leverage the principles of mental accounting to enhance the impact of incentives ? Uri answers the above questions and more as he takes us on a journey of understanding the power and pitfalls of incentives. Uri Gneezy is a Professor of Economics and Strategy and the Epstein/Atkinson Chair in Behavioral Economics, Rady School of Management, University of California, San Diego.  Uri Gneezy is an esteemed behavioural economist and author who has made significant contributions to the field of incentives and decision-making. His research focuses on understanding how incentives shape behavior and how to effectively utilize them in real-world settings. His latest book is  Mixed Signals: How Incentives Really Work https://www.amazon.in/Mixed-Signals-Incentives-Really-Work/dp/0300255535 Connect with Uri on Linkedin  https://www.linkedin.com/in/uri-gneezy-6292b988/ His website http://www.gneezy.com Jagged with Jasravee is facilitated by Jasravee Kaur Chandra, Director- Brand Building, Research & Innovation at Master Sun, Consulting Brand of Adiva L Pvt. Ltd. Jasravee has over 20 years experience as a Strategic Brand Builder,Communications Leader and Entrepreneur.  Please visit Jasravee at https://jasravee.com/ Connect with Jasravee on Linkedin at https://www.linkedin.com/in/jasravee/   Email Jasravee at jasravee@theadiva.com 00:00 Preview & Introduction to Uri Gneezy 02:30  Idea of Book Mixed Signals  03:48  Fine as a Price - Parents Coming Late 07:16  Psychological & Non-Monetary Incentives  10:24 Self-Signaling Incentives 11:47 Aligning Incentives with  Culture, Organizational Values 12:48 Mixed  Signals in Workplace  16:37 Chief Commonsense Officer: The Art of Messaging 20:01 Crafting Incentives Examples - Loyalty Programme Incentives of Airlines 21:30 Crafting Incentives Process - A/B Testing, Knowing Your Customer 22:18  Knowing Your Customer - Toyota  Triumphs  Honda in Green Incentive Game 26:27 Negative Incentives and the Power of Punishment 28:22  Incentives for the Long Term - Being Good for The Planet, Smoking  30:40 Habit Formation and the Choices We Make 35:31 Free Sampling and the Art of Price Promotions 39:21 Mental Accounting in Incentive Design - Free Fuel vs. Cash 42:56 Personally Speaking with Uri Gneezy - Rapid Fire 47:09 Connecting with Uri Gneezy Follow Jagged with Jasravee on Social Media Campsite One Link : https://campsite.bio/jaggedwithjasravee Facebook Page : https://www.facebook.com/jaggedwithjasravee Instagram : https://www.instagram.com/jagggedwith Podcast Page : https://anchor.fm/jagged-with-jasravee Youtube Page : https://www.youtube.com/c/jaggedwithjasravee Jagged with Jasravee, is an initiative of Master Sun Brand of Adiva Lifestyle Pvt Ltd. Website : https://jasravee.com/ #Rewardsandrecognition #Rewardsandincentives #Nonmonetaryincentives #nonfinancialincentives #employeemotivation #customermotivation #customerincentives #employeeincentives #behaviouralchange #consumerpsychology #neuromarketing #consumerscience #neuroscience #neuropsychology #customerpromotions

In this episode we answer emails from MyContactInfo, Mark, Kasey and Eric.  We discuss a Kitces article about managing capital gains tax brackets, some of Mark's favorite episodes -- 208 on ideas for beginning investors and 209 about common safe-withdrawal-rate hysterias, Big ERNs' blog post on personal inflation rates and my response on his site, and the problems of substituting mental accounting about buckets and other things with actual strategies.Links:Michael Kitces Article:  The Tax Impact Of The Long-Term Capital Gains Bump Zone (kitces.com)Early Retirement Now Blog Post:   Accounting for Homeownership in (Early) Retirement– SWR Series Part 57 – Early Retirement Now2022 Morningstar Report on Withdrawal Strategies:  Six Retirement Withdrawal Strategies that Stretch Savings | MorningstarEarn & Invest Interview of Christine Benz about the Morningstar Report:  Are Safe Withdrawal Debates Ridiculous — Earn & Invest (earnandinvest.com)Ben Carlson Post on the inherent Mental Accounting of Bucket Strategies:  The Mental Accounting of Asset Allocation - A Wealth of Common SenseSupport the show

Wir sind auch größten Online Marketing Event des deutschsprachigen Raums dabei sein: der OMR 2023 in Hamburg. Zeitgleich zur Veröffentlichung der Podcast-Folge hält Jason einen Talk auf der Yellow Stage und erklärt, wie sich psychologische Hacks fürs Social Media Marketing nutzen lassen. Für alle, die den Vortrag nicht live verfolgen können oder die Insights im Nachgang noch einmal in Ruhe anhören wollen, gibt's die heutige Episode. Hier erfahrt ihr, wieso es nicht immer innovative und ausgefallene Tricks und Strategien sein müssen, um auf Social Media aus der Masse herauszustechen und wie ihr Social Proof, Carpenter-Effekt, Mental Accounting, Endowment-Effekt und IKEA-Effekt nutzen könnt, um eure Zielgruppe zu erreichen. Zusätzlich gibt's Praxisbeispiele von uns und Brands, die die Prinzipien bereits in ihre Kampagnen integriert haben. Viel Spaß beim Anhören!

In today's conversation, I am joined by Dr. Merle van den Akker. Merle is a behavioral scientist who has recently completed a Ph.D. at the Warwick Business School, studying the effect of different payment methods on personal finance management. She decided to leave academia to apply behavioral insights in the real world and has become a behavioral science manager at a financial well-being unit in an Australian bank. She continues to research and apply behavioral science to improve financial services and consumer (financial) well-being. Next to this, Merle is a science communicator, running the blog Money on the Mind, and the MoneyPsychologist TikTok account, where she disseminates insights from the intersection of behavioral science and personal finance. Last, to not leave academia behind fully, Merle also still teaches behavioral science as well as courses on fintech developments at top Australian universities. Merle was also a finalist for Content Person of the Year in the Habit Weekly Awards in 2022 along with myself and many other amazing content creators in the space including next week's guest who won the award last year. In today's conversation, we are talking about personal finance – both for individuals and how it applies to any business. Stress at home can impact performance at work, and there are some ways businesses can be helping their employees feel more comfortable -- and do better work -- if they are thoughtful about personal finances and what is going on in the world around them. Even if your company doesn't believe it is impacted by inflation or the massive layoffs that have been happening recently...think again. Merle and I dig in on how social media and other availability-bias- and herding-fueled messaging is impacting everyone, and what companies can be doing to help their employees to feel more secure and less stressed. Show Notes: [00:42] In today's conversation, I am joined by Dr. Merle van den Akker. Merle is a behavioral scientist who has recently completed a Ph.D. at the Warwick Business School studying the effect of different payment methods on personal finance management.  [02:21] Stress at home can impact performance at work and there are some ways businesses can help their employees feel more comfortable and do better work.  [04:34] Merle shares about herself, her background, and the work she does. She runs the Money on the Mind blog, where she writes about how behavioral science applies to personal finance.  [06:42] Spending on a credit card is incredibly different than spending with cash.  [07:37] With contactless payments, people tend to spend a bit more and then they actually have a much worse recall of what they spent.  [09:32] Mental accounting is expenditure and research tracking in your head.  [11:51] It is important to ask thoughtful questions in business and research.  [14:25] You have a mental and a physical account for savings and your credit whether you are in debt or not.  [16:54] Behavioral science can contribute positively to the cost of living crisis in major ways. When people act out of fear they don't make great decisions.  [18:54] Learned helplessness is a very dangerous state to get into. You need to be able to get into a mindset where you are still able to act.  [21:50] Having too much pressure on people's time is impacting their ability to do really good, thoughtful work.  [24:28] The present bias is a very inconvenient bias and is something you should be aware of.  [27:31] As an employee, it is important to know what would and would not work and ask for that from your employer. An employer should be open and expectant to have these conversations.  [30:36] There can be more thoughtful and creative solutions for ways employers can help that don't cost them a lot of money.  [32:45] You can help be a solution for customers and employees by having this overall awareness of what is happening in the world and how that is going to be impacting behavior.  [34:09] If your brain is in overload the last thing it wants is ambiguity.  [35:42] You don't want people to act out of fear because they will make decisions that don't benefit anyone in the long run. That is something we should really try to avoid.  [37:53] Social media algorithms give you more of what you show interest in. Something may feel like it is everywhere, when in reality the algorithms are just showing it to you a lot.    [39:46] Always take the time in stressful moments to breathe and get out of that hot state to look and see what you can do differently.  [41:01] It is a win-win situation to have employees that are not just cowering under an enormous load of stress and fear and as a result being rendered almost nonfunctional.  [42:34] Melina's closing thoughts. [43:01] If you focus on helping your people with more aspects of their lives then just what feels immediately relative to your bottom line can have really great impacts financially and otherwise.  Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Nudge, by Richard Thaler and Cass Sunstein What Your Customer Wants and Can't Tell You, by Melina Palmer Scarcity, by Sendhil Mullainathan and Eldar Shafir  Subtract, by Leidy Klotz The Power of Scarcity, by Mindy Weinstein Connect with Merle:  Money on the Mind Merle on Twitter Merle on LinkedIn Top Recommended Next Episode: Common Errors in Financial Decision Making with Dr. Chuck Howard (ep 213) Already Heard That One? Try These:  The Pain of Paying (ep 240) Hindsight Bias (ep 167) Time Discounting (ep 51) Common Errors in Financial Decision Making with Dr. Chuck Howard (ep 213) How To Set Up Your Own Experiments (ep 63) Mental Accounting (ep 282) That Time I Went Viral… with Dr. Daniel Crosby (ep 212) Survivorship Bias (ep 110) Herding (ep 264) Availability Bias (ep 15) Time Pressure (ep 74) The Overwhelmed Brain and Its Impact on Decision Making (ep 32) Loss Aversion (ep 9) Past, Present, and Future Biases  (ep 246) Expect Error: The "E" in NUDGES (ep 39) Give Feedback: The "G" in NUDGES (ep 40) Ambiguity Aversion (ep 243) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter Learned Helplessness Invest now, drink later, spend never: On the mental accounting of delayed consumption

You're likely familiar with accounting, so perhaps you can gather that mental accounting is essentially about how we account for things in our mind. But, you may not realize that it isn't just mental math. This is about how we tend to create separate accounts for things in our minds that feel concrete, but often aren't. When I give examples in this episode today, which originally aired in the summer of 2019, you are going to find yourself saying, “Well, obviously that is how it works!” And then when you realize it doesn't have to be that way…it's kind of mind-blowing, but in a good way.  Mental accounting is great in a lot of ways. It helps us to save money and prioritize things that we might have a harder time with if everything was all lumped together. But it doesn't mean it is the ONLY way or even the right way. It might just be the best way our brains are doing it right now, and it is always a good thing when you can know the rules your brain is using to make its decisions as well as that of your employees, peers, customers, and more.  So, why are we talking about mental accounting today? It's because this Friday I am joined by Dr. Merle van den Akker, an expert on psychology and personal finances who runs the Money on the Mind blog. When she is here on Friday we discuss how the stress of money (fear of losing a job, concern about inflation, and the like) can impact employees. And, we of course take it a step further to unpack what businesses should know about these topics to better support their employees and why, even if a company thinks this doesn't have anything to do with them…it absolutely does. This kind of stress has a lot of economic impact on an organization, and it doesn't have to be difficult to support employees and achieve that win-win. We specifically talk about mental accounting in the episode, making it the perfect time to refresh it and get you set up for success for Friday! Show Notes: [01:21] Our brains make rules all the time. Sometimes they are really valuable — mental accounting is a great thing in a lot of ways. Sometimes, they aren't necessarily serving us well. [03:21] The concept of mental accounting was introduced by Nobel Prize winner Richard Thaler and is based on a human's illogical approach to value in relative terms instead of looking at it as an absolute.  [06:00] Three examples of how mental accounting can impact the decisions we make. This concept is very ingrained in our brains.  [08:22] Money is commonly labeled as either: expenses, wealth, and income.  [10:48] Much like regular accounting in mental accounting, individuals will book and post any occurring or planned transactions to the mental account. However, small items may not be booked in the same way as a big item would be. As long as it is below a certain amount it doesn't have to hit the mental account.  [12:38] We often don't look at dollar bills and change the same.  [15:31] Similar to the process of rounding up change at the grocery store, adding a small amount to an already large payment doesn't feel the same as having that payment on its own. This is because of decoupling.  [17:07] Vacations are enjoyed more when they are prepaid because it feels free.  [19:06] There are times when prepayment is necessary and beneficial for the overall enjoyment of an experience.  [22:34] When prepayment comes into play the impact of the payment gets completely wiped off the mental accounting sheet so its impact on the sheet becomes zero.  [25:11] Instead, internalize how the brain is wired to make its decisions around mental accounting.  [27:49] When it comes to wealth in these sorts of categories people are very influenced by paper gains and losses.  [29:26] Where you keep the money mentally or physically matters, but it also matters how you came across the money in question.  [30:53] The way you receive the dividend impacts your willingness to spend it.  [32:17] While it is easier to give cash than gifts, in many cases when the gift given is something someone really likes or enjoys it can have a greater value than giving cash.  [34:08] While losses should be lumped together, gains should be separated out to really feel their value. Don't wrap all the Christmas presents in one box.  [35:14] Mental accounting affects more than just money.  [37:52] Context is important in the way people react.  [39:54] Talking on the phone is more enjoyable when you aren't worried about how much it is going to cost you.  [41:57] If you struggle with work-life balance and want to make more time for yourself, your family, or date night, consider how the mental accounts for money were set up.  [43:47] Try to take a step back and have perspective on what's a waste of time and how you could better allocate your mental time account.  [44:25] Melina's closing thoughts Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! More from The Brainy Business: Check out Melina's award-winning books. Get the Books Mentioned on (or related to) this Episode: Nudge, by Richard Thaler and Cass Sunstein What Your Customer Wants and Can't Tell You, by Melina Palmer Scarcity, by Sendhil Mullainathan and Eldar Shafir  Subtract, by Leidy Klotz The Power of Scarcity, by Mindy Weinstein Top Recommended Next Episode: Pain of Paying (240) Already Heard That One? Try These:  Costco (ep 47) Apple Card (ep 42) Overview of Personal Biases (ep 45) The Overwhelmed Brain and Its Impact on Decision Making (ep 32) Celebrating the First Year of the Podcast (ep 55) Overview of Personal Biases (ep 45) Framing (ep 16) Loss Aversion (ep 9) Time Discounting (ep 51) Booms and Busts (ep 30) What is Value? (ep 8) The Truth About Pricing (ep 5) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter  The Pain of Paying The Red and the Black: Mental Accounting of Savings and Debt The Pain of Paying Tightwads and Spendthrifts: An Interdisciplinary Review Always Leave Home Without It: A Further Investigation of the Credit-Card Effect on Willingness to Pay Invest now, drink later, spend never: On the mental accounting of delayed consumption Mental Accounting Matters Mental Accounting and Consumer Choice

‘Try to always remember that individual investments are made up of a whole': Dr Gizelle Willows, founder of Nudging Financial Behaviour.

As a Seattle girl, I love me some Starbucks so it is fun to refresh this episode which was one of the first (and most popular) behavioral economics analysis episodes I've ever done. It is currently the 11th most downloaded episode of the show of all time, and with 277 episodes to date, that is a pretty big deal! If you aren't familiar with this format, it is an episode where I talk about a well-known company and their practices to share what concepts from behavioral economics and behavioral science in their work so you can see what you might want to emulate and what isn't a good fit for you in your company.  So, why this episode from late 2019, and why now? Well, it is because of the loyalty program and this coming Friday's episode where I am joined by Lauren Kemp and Stephen Springfield to talk about how they created an “irrational” loyalty program at McDonald's during the pandemic. It is a fascinating story with lots of insights for you to learn. Today, I chose to share an episode that showcased another loyalty program doing a lot of smart things that are different from the traditional punch card approach to loyalty. (And, good news, there is a lot more to this episode that I know you're gonna love.) So grab a coffee, and settle in… Show Notes: [00:40] Today's episode is a behavioral economics analysis of Starbucks. [04:01] In this episode we are going to dig into their Star Rewards program, featured drinks, and products, the coveted red cups, their personality, overall brand choices, their logo, locations, social media, and pricing.  [04:23] Without the original brand and pricing, Starbucks would be just another coffee shop. [05:57] One of the big aspects Starbucks had to overcome was the pricing anchor.  [08:41] Howard Schultz and Starbucks took a step back. They got out of their own way and created a new category which ended up changing the conversation about coffee around the world. Asking good questions can help you get there.  [10:19] Price is never about the price. It is all about all the things that come before the price that matters more than the price itself. [12:02] The first big drink Starbucks made famous was the Frappuccino. There is a lot of effort that goes into turning these things into multibillion dollar industries.  This created a brand within a brand.  [14:27] Most everyone knows that the original PSL started at Starbucks. Pumpkin spice lattes are one of the seasonal drinks Starbucks brings out each year. They are only available for a few weeks or months until they are gone. This is scarcity in action.  [17:39] Starbucks changed the game. They created something different and managed to hold a big piece of the market even when imitators arose in every area.  [18:28] Starbucks is constantly testing and they are not afraid to have something really popular only available sometimes.  [19:24] Making and keeping a tradition alive is something Starbucks does amazingly well. The red cup first debuted in the 1997 holiday season and has been a staple ever since.   [20:19] When you become a lifestyle brand you bear the responsibility of being a big part of peoples' lives. Your choices reflect theirs and when you do something out of character, they will tell you about it. This is both good and bad.  [22:30] Consistency is key and until you define what you are and are not you can't be whatever it is consistently. When you have your own filters and know what you are about you can shout them from the rooftops and your tribe will resonate with them.  [24:49] The value of a brand is more than money and bottom-line sales. It is about the overall experience with the brand at its core.  [27:13] Find what people are already talking about and loving and see how you can be part of that conversation.  [28:39] The Star Rewards model is built to create habits for users and increase visits. It also encourages users to try new items and has limited-time offers, and customized preferences with an opportunity to get bonus stars.  [29:48] Being willing to test, experiment, and learn is something Starbucks does really well. Essentially Star Rewards is a huge testing ground of live field environments.  [32:15] Star Rewards is super easy and built-in. You have loss aversion and reciprocity built into the promotions.  [33:50] Star Rewards is a smart balance of loss aversion, scarcity, relativity, habits and more all executed through a series of experiments to see what is bringing the most value to the company and its customers.  [34:59] Scarcity is a powerful tool when used correctly, especially when properly paired with loss aversion to help people choose your product.  [36:31] Melina's closing thoughts [38:39] There is a lot of value and loyalty that comes from delightful, unexpected experiences and a less formal program is perfect for that. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn More and Support The Brainy Business: Get your copies of Melina's award-winning books.  Get the Books Mentioned on (or related to) this Episode: What Your Customer Wants and Can't Tell You, by Melina Palmer How Customers Think, by Gerald Zaltman Alchemy, by Rory Sutherland Engaged, by Amy Bucher Marketing to Mindstates, by Will Leach Top Recommended Next Episode: Get Your D.O.S.E. of Brain Chemicals (ep 123) Already Heard That One? Try These:  Framing (ep 16) Priming (ep 252) What is Value? (ep 234) Mental Accounting (ep 56) Partitioning (ep 254) Costco (ep 47) Apple Card (ep 42) Anchoring and Adjustment (ep 11) Herding (ep 19) The Truth About Pricing (ep 5) A Guide for You to Create a Brainy Brand (ep 43) Rebrand, Refresh or Reinforce? (ep 44) Availability (ep 15) The Sense of Hearing and Sound (ep 27) Habits (ep 256) How To Set Up Your Own Experiments (ep 63) Relativity (ep 12) Reciprocity (ep 238) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter  A Starbucks Barista Asked Me This 1 Simple Question, and Using It May Be a Great Way to Boost Your Sales Every Starbucks Growth Strategy Is Working 30 Interesting Starbucks Facts and Statistics (2019) | By the Numbers How Starbucks Transformed Coffee From A Commodity Into A $4 Splurge Starbucks Didn't Invent the Frappuccino. Here's Who Did. Starbucks Has Made An Insane Amount Of Money From PSL Sales Starbucks Red Cups 2019: When Do Christmas Holiday Drinks Start Going on Sale? A Brief History of Starbucks' Holiday Cup Controversies Starbucks Will Be Selling Fewer Limited-Time-Only Drinks That Can Be Super Hard To Make SPAM® Pumpkin Spice

In today's conversation, I am joined by Dr. Uri Gneezy. Uri's research focus is on putting behavioral economics to work in the real world, where theory can meet application. He is looking for basic research as well as more applied approaches to topics like incentives-based interventions to increase good habits and decrease bad ones, Pay-What-You-Want pricing, and the detrimental effects of small and large incentives. In addition to the traditional laboratory and field studies, he currently works with several firms conducting experiments which use basic findings from behavioral economics to help companies achieve their traditional goals in nontraditional ways. You may be familiar with Uri's name because he coauthored the wildly popular book, The Why Axis with John List, who was on the show last year talking about his book The Voltage Effect.  I have a feeling you're going to really enjoy this conversation as it is about a topic people in business are thinking, talking and asking about all the time: incentives. Most specifically, Uri talks about what happens when we mix our messages (it happens a lot more often than you realize) and how that impacts behavior. There are tons of fascinating and practical examples in the book, and we will talk about a few of them today in the episode. Show Notes: [00:42] In today's conversation, I am joined by Dr. Uri Gneezy. Uri's research puts behavioral economics to work in the real world where theory can meet applications. [03:15] Uri shares his background and the work he does in behavioral science. He is a behavioral economist and most of his work is around how incentives really work and how they can change the world.  [05:19] When you give the incentives it is not just the money, reward, or recognition that you give, you are also sending a message and telling a story. If you don't really understand how the incentive can shape or change the story you might send the wrong message.  [07:03] Incentives are not good, wrong, or bad. It really depends on how you use them.  [09:25] By changing the incentives from money to an item like a mug or pen you change the message that supports the signal that you want to send.  [11:45] Uri shares about research around donating blood. [14:01] In the late '90s hybrid cars started to pop up. Toyota won the market with the signal they sent.  [16:39] Different incentives work on different people. The incentives don't have to apply to everyone.  [18:25] The role of incentives should be to push the story in the direction you want. Incentives are going to change the story.  [21:27] Quality is much harder to control than value and sometimes it is subjective. How do you incentivize without damaging the quality? [24:30] We really need to be careful about the incentives we give.  [27:00] If we want innovation we have to make sure we don't punish failure.  [29:59] If you have an incentive in place, try to think about it and see if it really sends the message that you want to send.  [30:51] The fact that you tried incentives and they didn't work doesn't mean that incentives don't work. It means that what you tried didn't work and it is time to try something else.  [33:26] You need ways to measure your incentives and how they are working.  [36:00] He decided to add cartoons to his book because they deliver the message better than just reading a long description and it makes it fun and less boring.  [38:48] The Coca-Cola story is a very good example of how the framing of the incentive can give a completely different experience.  [40:26] Not all incentives are created equal and you can understand more about them and predict how they will work if you understand the message they are sending.  [41:55] Our brains have mental accounts.   [44:30] If you find out what your clients care about you can use that to create your incentives.  [46:51] The amount of money really sends a signal but gifts send a very different signal and meaning.   [49:36] Make incentives simple. If you have many incentives, consolidate them. Make sure you align what you do with the message you want to give.  [50:52] Melina's closing thoughts Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Mixed Signals, by Uri Gneezy The Why Axis, by Uri Gneezy and John List Drive, by Daniel Pink Quit, by Annie Duke Both/And Thinking, by Wendy Smith & Marianne Lewis Connect with Uri:  Uri on LinkedIn Uri on Twitter Top Recommended Next Episode: The Voltage Effect with John List (ep 190) Already Heard That One? Try These:  Secrets of Motivation and Incentives, Tim Houlihan Interview (ep 109) Motivation and Incentives at Work with Kurt Nelson (ep 187) Incentives (ep 272) Social Proof (ep 87) Cognitive Semiotics and Metaphors with Sarah Thompson (ep 259) Using Semiotics in Retail with Rachel Lawes (ep 191) The Cobra Effect (ep 220) Priming (ep 18) Quit: The Power of Knowing When to Walk Away, with Annie Duke (ep 227) Both/And Thinking with Dr. Wendy Smith (ep 261) Framing (ep 16) Anchoring and Adjustment (ep 11) Mental Accounting (ep 56) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter

Today's episode is all about the Dunning Kruger Effect, which was the second most downloaded episode of the year in 2022, so in case you missed it I wanted to be sure you had a chance to listen to it like so many of your peers did. :)  If you DID hear this episode last year when it came out, I highly recommend you still tune in now because I can guarantee it will hit you differently today than it did back then. You are a different person and you will glean different insights from the episode, I promise.  So, why this episode and why today? Well, in Friday's episode with Dr. Tomas Chamorro-Premuzic, we talk explicitly about the Dunning Kruger Effect and how it applies in life and business when he shares about his new, fascinating book I, Human and our discussion is specifically around one of his other books, Why So Many Incompetent Men Become Leaders (And How To Fix It). That book has too good of a title to not be honored with a refresh on the Dunning Kruger Effect, which looks at the relationship between confidence and competence, as you will learn more about today. Show Notes: [00:39] Today's episode is all about the Dunning Kruger Effect, which was the second most downloaded episode of the year in 2022. [02:22] To put the Dunning-Kruger effect into its simplest form, it would say essentially that people who are unskilled tend to overestimate their abilities and those who are very skilled experts will underestimate theirs. [03:15] Think about a kid who graduates from high school and believes they know everything. [03:35] When someone graduates from high school, they are at a point that has come to be known as the “Peak of Mount Stupid.” At the peak of mount stupid, someone has lots of confidence, but it isn't built on much competence. They have no idea how much they don't know so they are blissfully unaware of their precarious position and how close they are to falling right off the cliff. When this kid gets to college and realizes they don't know nearly as much as they thought they did, they fall into the “Valley of Despair.” [05:51] This is an opportunity to look at the things you don't yet know and begin to research them. This gradual climb is called the “Slope of Enlightenment.” You slowly gain confidence as you grow your competence…though you might never get back up to the level of confidence you had way back at the peak of mount stupid. [06:48] If you take a moment now to reflect upon your own life, I am guessing you could pretty easily come up with at least half a dozen examples where the Dunning-Kruger effect reared its ugly overconfident head. [08:17] While you are an expert in one thing, you are way overconfident in something else, where you don't have any idea of the ocean of stuff you don't know. [09:23] How the effort heuristic relates.  [11:16] I can live in blissful unawareness of my inadequacies forever and never have it be an issue until I try the thing enough to realize that I should have been a little less confident. [12:30] Have some awareness and don't assume you know better than everyone else. [13:27] There is a flip to this as well. (It isn't all about mount stupid). Remember, there is a point where you become an expert and then grossly underestimate your own abilities. [14:45] You can't do this for everything, but on the things that matter it is worth doing a little Dunning-Kruger evaluation every so often to discover if you are underestimating or overestimating your confidence and competence at this point. [15:41] Look at your own moments where you have high confidence and low competence (or high competence with not enough confidence) to determine if you are showing up in the best way possible. Also, look at others to determine where they are on that Dunning-Kruger scale. [17:08] Another place where the Dunning-Kruger effect is really critical to keep in mind is when you look at coaching or giving advice to members of your team. [18:40] Giving them too many things to change while they are feeling the stress in the “valley” is going to make the problem worse, so you need to be selective on what advice to give them. [19:55] Know that when people have low competence in something, they are likely to be overconfident in their own abilities. Those who are very competent have a tendency to underestimate their own skill or ability. [20:3] There is an interesting point when there is an increase in knowledge where you realize all of what you don't know—that increased competence results in a drastic drop in confidence. [21:17] As you build knowledge, know that you will gradually underestimate your abilities, skills, and all the effort and training that went into what you now know and can do. Just because it is easy for you doesn't mean it isn't of value to someone else. Especially when someone is new, overshare information to help with where you both are on the Dunning-Kruger scale. [22:04] Don't take your spot on the Dunning-Kruger scale as a fixed point. The context is always changing, there are new discoveries and technologies and experts every day. [23:16] I just love this concept in so many ways. It is a great opportunity to look at ourselves, and others so we can overcome obstacles we may be putting in our own way, avoid big crashes into that valley of despair, be better at coaching others, and have better relationships with colleagues of all kinds — and even understand our relationship with technology. [24:12] Keep the Dunning Kruger Effect in mind as you look around at your own choices and the relationships you have with others over the next couple of weeks. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: I, Human, by Tomas Chamorro-Premuzic Why Do So Many Incompetent Men Become Leaders? (And How To Fix It), by Tomas Chamorro-Premuzic What Your Employees Need and Can't Tell You, by Melina Palmer Getting Along, by Amy Gallo You Are Not So Smart, by David McRaney Top Recommended Next Episode: Confirmation Bias (episode 102) Already Heard That One? Try These:  Framing (ep 16) Priming (ep 18) What is Value? (episode 234) Mental Accounting (ep 56) Partitioning (ep 254) How to Raise Your Prices (ep 77) The Truth About Pricing (ep 5) Focusing Illusion (ep 89) Get Your D.O.S.E. of Brain Chemicals (ep 123) Decision Fatigue (ep 132) IKEA Effect & Effort Heuristic (ep 112) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter  Dunning-Kruger Original Research Baader-Meinhof Phenomenon

Today we are spending most of the episode going further into the basic concepts that ground good financial practices and the personal finance topics that are often taken for granted. The three main areas we unpack in this episode are the cost of living, savings capacity, and emergency funds, and though these can be viewed as basic ideas, there are always areas of the simplest variety that deserve more attention. Listeners can also expect to hear a little more about what our role as financial advisors constitutes on a daily basis, as we respond to an audience member's question about how to conceptualize the profession. We welcome Dr. Wendall Mascarenhas back to the show for a brief cameo in which he shares his reading habits and approach with us, which contrasts with some of the opinions often expressed by other guests, so make sure to stay tuned in for that. We also find time for a quick recap of an old episode we had with Rick Ferri and a book review of Rethink Lead Generation by Tom Shapiro.   Key Points From This Episode:   •    Discussing the cost of living and why an accurate picture of your expenses is so important. (0:04:08) •    Working out your saving capacity and when and how to save. (0:21:32) •    General advice for emergency funds and further considerations for households. (0:32:51) •    Recapping our episode with Rick Ferri on his index investing philosophy and the lasting impact of John Bogle. (0:40:21) •    This week's book review of Rethink Lead Generation by Tom Shapiro. (0:42:26) •    Dr. Wendall Mascarenhas talks about his reading habits and his prioritization of reading for pleasure. (0:49:23) •    A few favourite book recommendations from Dr. Wendall Mascarenhas. (0:58:12) •    Current debates around ChatGPT and the sources of its information. (1:06:18) •    Information about upcoming meetups for the Rational Reminder community. (1:09:38) •    Further explorations on our recent goals survey and the input we received from Morningstar. (1:11:00)     Participate in our 23 in 23 Reading Challenge: 23 in 23 Reading Challenge — https://rationalreminder.ca/23in23 23 in 23 Reading Challenge on Beanstalk — https://pwlcapital.beanstack.org/   Links From Today's Episode: Rational Reminder on iTunes — https://itunes.apple.com/ca/podcast/the-rational-reminder-podcast/id1426530582. Rational Reminder Website — https://rationalreminder.ca/ Shop Merch — https://shop.rationalreminder.ca/ Join the Community — https://community.rationalreminder.ca/ Follow us on Twitter — https://twitter.com/RationalRemind Follow us on Instagram — @rationalreminder Benjamin on Twitter — https://twitter.com/benjaminwfelix Cameron on Twitter — https://twitter.com/CameronPassmore Dr. Wendall Mascarenhas — https://www.fcos.ca/meet-dr-mascarenhas/ Teeth & Titanium Podcast — https://podcasts.apple.com/us/podcast/teeth-titanium/id1514989809 Extra References:   Savings capacity 'Popular Personal Financial Advice versus the Professors' — https://www.nber.org/papers/w30395 'The Life-Cycle Model Implies That Most Young People Should Not Save for Retirement' — https://www.aei.org/research-products/journal-publication/the-life-cycle-model-implies-that-most-young-people-should-not-save-for-retirement/ 'Exponential-Growth Bias and Lifecycle Consumption' — https://www.jstor.org/stable/43965317 'Save More Tomorrow™: Using Behavioral Economics to Increase Employee Saving' — https://www.jstor.org/stable/10.1086/380085 Emergency fund 'What Matters to Individual Investors? Evidence from the Horse's Mouth' — https://onlinelibrary.wiley.com/doi/abs/10.1111/jofi.12895 'Millionaires Speak: What Drives Their Personal Investment Decisions?' — https://www.nber.org/papers/w27969 'Emergency savings for low-income consumers' — https://www.irp.wisc.edu/publications/focus/pdfs/foc301c.pdf 'Emergency Saving and Household Hardship' — https://www.researchgate.net/publication/269468202_Emergency_Saving_and_Household_Hardship 'Savings Policy and Decisionmaking in Low-Income Households' — https://www.researchgate.net/publication/289069441_Savings_Policy_and_Decisionmaking_in_Low-Income_Households 'Insufficient Funds: Savings, Assets, Credit, and Banking Among Low-Income Households' — https://www.jstor.org/stable/10.7758/9781610445887 'Financially Fragile Households: Evidence and Implications' — https://www.nber.org/papers/w17072 'One in four Canadians are unable to cover an unexpected expense of $500' —https://www150.statcan.gc.ca/n1/daily-quotidien/230213/dq230213b-eng.htm 'Who Should Buy Long-Term Bonds?' — https://www.jstor.org/stable/2677900 ‘Mental accounting matters' — https://people.bath.ac.uk/mnsrf/Teaching%202011/Thaler-99.pdf 'The Bucket Approach for Retirement: A Suboptimal Behavioral Trick?' — https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3274499 'Should Households Establish Emergency Funds' —https://www.proquest.com/openview/042e8ea8f8e3986ec6c93e5cfca265c0/1?pq-origsite=gscholar&cbl=38873 'Is an All Cash Emergency Fund Strategy Appropriate for All Investors?' — https://www.financialplanningassociation.org/article/all-cash-emergency-fund-strategy-appropriate-all-investors 'Building emergency savings through employer-sponsored rainy-day savings accounts' — https://www.journals.uchicago.edu/doi/full/10.1086/708170 'Double Mental Discounting: When a Single Price Promotion Feels Twice as Nice' — https://journals.sagepub.com/doi/10.1509/jmr.15.0559 'The Role of Mental Accounting in Household Spending and Investing Decisions'  — https://onlinelibrary.wiley.com/doi/10.1002/9781119440895.ch6 'Emergency Savings and Financial Security: Insights from the Making Ends Meet Survey and Consumer Credit Panel' — https://www.consumerfinance.gov/data-research/research-reports/emergency-savings-financial-security-insights-from-making-ends-meet-survey-and-consumer-credit-panel/  

Today's episode is one that originally aired on June 14, 2019, as part of an 8-part series I called “All the Biases” which took hundreds of biases and sorted them into different categories. Because our brains are complex interconnected webs, this could have been done in many ways and the biases mentioned could belong in multiple areas. I selected groupings based on what I thought would make the most sense to this audience and applying the information about our biased brains into business.  This episode goes through a lot of concepts at a very high level. Unlike the foundations episodes of the podcast, which sometimes have a full hour dedicated to a full concept, many of these will get a sentence or only a few points. This episode is more about bringing your attention to the concepts, what is out there, and to scratch the surface of the complexity of our brains. I chose this episode as the refresh for this week because it mentions ambiguity and uncertainty aversion, which is the topic for this coming Friday's brand new foundations episode, so it felt like a nice way to set the stage for that. Ready to dig in on all the biases? Let's go… Show Notes: [00:39] Today's episode is one that originally aired on June 14, 2019, as part of an 8-part series I did called “All the Biases” which sorted hundreds of biases into different categories. [03:14] Our brains are lazy and they like to take the path of least resistance to get to what they believe to be a good enough answer as quickly as possible.   [04:51] Because we are particularly lazy with math, we rely on the source of whatever is thrown our way. The brain would rather risk being wrong than take the time to do the numbers in everyday interactions.  [07:17] It is important to know what people care about when you set up your messaging.  [08:25] Due to “the less is better effect”, our preference changes when we evaluate things alone versus comparing them against others.  [10:23] Due to the money illusion we tend to concentrate on the nominal or face value of our money instead of thinking of it in terms of how much it can get for us.  We are more likely to spend money in smaller denominations.   [13:09] Due to the IKEA effect people will value things more that they made themselves or partially assembled than things they did not. The endowment effect is where we value things we own more than things we do not.  [15:45] Playing to win is not the same as playing not to lose (game theory).  [15:58] We have all sorts of bad habits when it comes to placing a value on time.  [18:20] If you have something people will be excited about you can make the wait a little more enjoyable to increase the experience. With a mundane task, reducing the wait as much as possible is key (or, often even better as discussed with Dilip Soman in episode 241, is to look at the opportunity within the wait).  [20:44] “Hot hands” are not real (hot hands fallacy) but our brains like to think this is true due to the clustering illusion. Our brains like to look for patterns. [22:27] People are more likely to prefer the things they know to things that are unknown. We are much more likely to choose an option that we know the odds for even if they are terrible because we are so afraid of the unknown (ambiguity / uncertainty aversion). [24:36] Consider the known and know that the unknown doesn't negate everything else when making a decision.  [25:59] When we want something today, we value it differently than tomorrow (time discounting). When we look at tomorrow or things we don't know about we expect the worst even when there is nothing to make us feel that way other than our own natures. [26:55] Most of us don't properly understand how averages impact our lives every day and this can impact the decisions we make in business.  [27:15] Melina shares a story from Thinking Fast and Slow about regressive bias. [29:47] The instructor has attached a causal interpretation to the inevitable fluctuations of a random process.  [32:00] Everything we know to be true is not necessarily true. It is easy to find the right answer to the wrong question.  [33:25] The lesson is to know that our brains like to tell us stories. They write their own rules and details that serve what the subconscious thinks is best. Taking a little extra time and being a little more open can change your view and your success rate.  [34:00] Melina's closing thoughts [35:02] Adapting your lenses and looking from multiple angles and depths is really important to make that possible, which is why an episode like this is so valuable. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn and Support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: What Your Employees Need and Can't Tell You, by Melina Palmer Behavioral Science in the Wild, by Dilip Soman & Nina Mazar Thinking Fast and Slow, by Daniel Kahneman Nudge, by Richard Thaler & Cass Sunstein Freakonomics, by Steven Levitt & Stephen Dubner Top Recommended Next Episode: Behavioral Science in the Wild with Dilip Soman (episode 241) Already Heard That One? Try These:  Overview of Personal Biases (ep 45) Biases Toward Others – Including Groups (ep 46) An Overview of Memory Biases (ep 48) Present Versus Future Biases (ep 49) Selective Attention Biases (ep 50) Biases Toward Novelty and Stories (ep 54) Anchoring & Adjustment  (ep 11) Loss Aversion (ep 9) IKEA Effect (ep 112) Time Discounting (ep 51) Booms, Bubbles, and Busts (ep 30) Mental Accounting (ep 56) Endowment Effect (ep 139) Negativity Bias (ep 223) The Cobra Effect (ep 220) Game Theory (ep 228) Duration Neglect and the Peak End Rule (ep 97) Planning Fallacy (ep 114) Status Quo Bias (ep 142) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter  Less Is Better: When Low-value Options Are Valued More Highly than High-value Options The Disposition to Sell Winners Too Early and Ride Losers Too Long: Theory and Evidence Treatment Decisions Under Ambiguity Ambiguity and Nonparticipation: The Role of Regulation Risk, Ambiguity, and the Savage Axioms Statistics How To How to Feel Like You Have All the Time in the World (even If You Don't)

You've probably caught yourself indulging after a workout or a game or a stretch of healthy eating. Maybe it was a pint or two after a soccer game or an extra piece of cheesecake after a vigorous hike. These indulgences are easier to justify after a healthy activity. Ironically, though, these indulgences can undo some of your hard work. So why do we tend to behave this way? In this episode of Choiceology withKaty Milkman, a look at how we justify our decisions based on previous behavior.Alfred Nobel was a very successful inventor and businessman. His invention of dynamite transformed industry and saved lives by reducing the use of dangerously unstable nitroglycerin. But his reputation suffered as he became associated with some of the negative uses of his creation. Gustav Källstrand is the senior curator at the Nobel Prize Museum in Stockholm, Sweden. He tells the story of how Alfred Nobel accidentally read his own obituary (spoiler: it was not a positive story) and the efforts Nobel undertook to rescue his reputation.Next, Uzma Khan joins Katy to explain why people use "good" behavior to justify "bad" behavior, and vice versa. She discusses her research into this compensating behavior and how it impacts everything from health to consumer choice to charitable giving.Uzma Khan is an associate professor of marketing at the University of Miami. Finally, Katy explains how this phenomenon relates to what Nobel laureate Richard Thaler calls mental accounting, where we tend to place time and money (and in this case morality and self-control) into accounts, even though they are fungible resources. Choiceology is an original podcast from Charles Schwab. For more on the series, visit schwab.com/podcast.[RP1]If you enjoy the show, please leave a rating or review on Apple Podcasts.Important DisclosuresAll expressions of opinion are subject to change without notice in reaction to shifting market conditions.The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.The policy analysis provided by the Charles Schwab & Co., Inc., does not constitute and should not be interpreted as an endorsement of any political party.Investing involves risk, including loss of principal.All corporate names are for illustrative purposes only and are not a recommendation, offer to sell, or a solicitation of an offer to buy any security.The book How to Change: The Science of Getting from Where You Are to Where You Want to Be is not affiliated with, sponsored by, or endorsed by Charles Schwab & Co., Inc. (CS&Co.). Charles Schwab & Co., Inc. (CS&Co.) has not reviewed the book and makes no representations about its content.(1022-2NKP)

In today's conversation, I am joined by Annie Duke, a former professional poker player (widely known as one of the best female players in the world) who also has an impressive and fascinating background in psychology, which she will talk about on the show today. I've been wanting to have Annie on for ages, she has two other fantastic books called Thinking in Bets and How to Decide, and I am so delighted that she wrote this additional book, Quit, which we are talking about today (and really, she talks about all three books in our conversation). I am so honored and delighted that Annie took the time to chat with me for this interview. We had a great conversation and ended up chatting for over 90 minutes (with about 80 of those recorded). Here on the show today, we are cutting that conversation down to fit in under an hour but if you want to hear the full conversation in detail, come on over to the BE Thoughtful Revolution membership group -- it's our free community of behavioral economics enthusiasts from around the world, and you can check out the full video interview and conversation. Annie is a wealth of knowledge and insights, so you will want to glean every extra moment just like I did, I'm sure – be sure to stick around for monkeys and pedestals! Show Notes: [00:40] In today's conversation, I am joined by Annie Duke, a former professional poker player who also has an impressive and fascinating background in psychology. [03:07] Annie shares her background and how she found herself in the world of behavioral science.  [04:41] Her brother was the one who suggested she play poker and she ended up playing poker for 18 years as her profession.  [06:05] After eight years as a poker player she started getting asked to give talks. The first talk she gave was to a group of options traders and she talked about how poker might inform your thinking about cognitive bias. From there she started getting referrals and spending more time speaking than playing poker.  [07:11] In 2012, she retired from poker to spend more time on the business side of things and started consulting and speaking full-time.  [09:13] If you look at anything on Annie's journey from the time she entered graduate school, it is all decision-making under uncertainty.    [11:09] The more ways that you are thinking about problems and the different frames that you have to ponder these issues you end up bringing something different to the table.  [12:54] Premortems can be very effective if you combine them with other good decision-making tools.  [15:14] If you use prospective hindsight instead of just forward planning, research shows you will generate 30% more reasons for failure or success if you didn't do prospective hindsight.  [17:14] Self-serving bias is that when bad things happen to us as individuals we tend to blame them on things that are outside of our control.   [19:49] Other researchers suggest that premortems need to be done in groups to be successful.  [22:42] Thinking in Bets was a book that she had really wanted to write for many years, which is about making decisions under uncertainty.  [25:27] One of the things she really talks about in Thinking in Bets is resulting. Resulting is when we look at other people and assume if they have a bad outcome then they made a bad decision and a good outcome is from luck (whereas when we have a bad outcome it is luck and a good outcome is from our good decision making – this is very similar to fundamental attribution error).   [26:55] She wrote How to Decide as a companion, which had more practical tools for making decisions.  [28:23] Annie shares about writing her new book Quit.   [30:44] Most of the decisions you make you can actually probably make faster. The way to decide if you can go faster is by looking at the consequences of getting the decision wrong.  [33:01] We are really bad at exercising the option to quit when the time comes. The option to quit is very valuable.  [35:02] She shares the many Zoom conversations with influential behavioral scientists she had prior to writing her new book about quitting.   [36:36] Science shows that when we quit, we are usually doing it too late.  [38:45] One of the problems we have is that once we set a goal we are immediately in the losses.  [39:20] Annie shares about the California Bullet Train.  [41:51] After getting the project approved once starting the project they realize they have two big problems… (Why didn't they “see” them before?)  [44:22] Instead of stopping the project, they approved two pieces of track that don't address the gigantic engineering problems. [46:13] Monkeys and pedestals is an incredibly helpful framework for trying to figure out how you approach projects to find out the information you need to find out the fastest so you can figure out if it is something you want to stick to.  [47:26] She shares the monkeys and pedestal's story. You have to start with the monkey (the hard part) of the problem first.  [49:11] When you do but up against hard things you tend to turn to pedestal building rather than to quit (similar to bikeshedding).   [50:28] You should definitely tackle the monkeys first. [51:51] You follow the premortem by looking at the monkeys and pedestals. You figure out what the monkeys are and then you change your plans according to that.  [53:20] Kill criteria are what you could see or find out in the future that would tell you that you ought to quit.  [55:01] There is no point in tackling any low-hanging fruit if you can't train the monkey. Figure out the hard problem first.  [57:34] Winners quit a lot. That is how they win. Winners sample a lot of stuff, settle on a course of action, tackle the monkeys first, and if the world gives them another signal they switch. [58:41] Winners pick the right things to stick to and they abandon everything else.  [60:52] Melina shares her closing thoughts.  [61:08] Thoughtful quitting, stopping doing things that aren't serving you anymore isn't a failure -- that is a win. That is a sign of doing great big amazing things! If you never quit, you can never win because you will be spread too thin. Thanks for listening. Don't forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  I hope you love everything recommended via The Brainy Business! Everything was independently reviewed and selected by me, Melina Palmer. So you know, as an Amazon Associate I earn from qualifying purchases. That means if you decide to shop from the links on this page (via Amazon or others), The Brainy Business may collect a share of sales or other compensation. Let's connect: Melina@TheBrainyBusiness.com The Brainy Business® on Facebook The Brainy Business on Twitter The Brainy Business on Instagram The Brainy Business on LinkedIn Melina on LinkedIn The Brainy Business on Youtube Join the BE Thoughtful Revolution – our free behavioral economics community, and keep the conversation going! Learn and support The Brainy Business: Check out and get your copies of Melina's Books.  Get the Books Mentioned on (or related to) this Episode: Thinking in Bets, by Annie Duke How to Decide, by Annie Duke Quit, by Annie Duke Superforecasting, by Dan Gardner and Philip E. Tetlock How to Change, by Katy Milkman Power of Regret, by Daniel Pink Connect with Annie:  Annie's Website Annie on Twitter Annie on LinkedIn Top Recommended Next Episode: Game Theory (episode 62) Already Heard That One? Try These:  Loss Aversion (episode 9) Framing (episode 16) The Most Important Step in Applying Behavioral Economics: Understanding the Problem (episode 126) 3 Steps to Better Decision Making, An Interview with Matthew Confer (episode 158) Counterfactual Thinking  (episode 68) How To Change, an interview Dr. Katy Milkman (episode 51) Fundamental Attribution Error (episode 92) Planning Fallacy (episode 114) Precommitment (episode 120) Hindsight Bias (episode 167) Bikeshedding (episode 99) Status Quo Bias (episode 142) Endowment Effect (episode 139) Survivorship Bias (episode 110) Mental Accounting (episode 56) Other Important Links:  Brainy Bites - Melina's LinkedIn Newsletter  A Slight Change of Plans Podcast with Maya Shankar Annie's Newsletter

Tune in to hear:- What does Ashvin propose as a better measure of investor success above risk adjusted returns?- What are the two main reasons why we invest? Ashvin thinks that, with a traditional portfolio, we will be disappointed with at least one of these two dimensions at any given moment - why is this the case?- What is the three-tiered investment approach that Ashvin came up with and how does it help ameliorate some of the disappointment implicit in investing?- How does this bucketing approach help clients in both bear and bull markets?- How does everything we've discussed today, with respect to the wealth allocation framework, improve investor behavior?http://www.aspirationalinvestor.comCompliance Code: 1118-OAS-6/27/2022

(7/15/22) Are we in an Earnings Recession? With sticky price-inflation, is 2% inflation even achievable? How people are changing habits; the recovery will likely take longer this time. Where should you park your money? Cash is King w Online Banking; don't be seduced by yields. The Rise & Shine Act exposed; Mental accounting & the hierarchy of Savings. SEG-1: Is 2% Inflation Achievable? SEG-2: How Inflation is Changing Habits SEG-3: Cash is King & Online Banking SEG-4: Mental Accounting & Hierarchy of Saving Hosted by RIA Advisors Director of Financial Planning, Richard Rosso, CFP, w w Senior Advisor, Danny Ratliff, CFP -------- Watch today's show on our YouTube channel: https://www.youtube.com/watch?v=iCMHVB-B858&list=PLVT8LcWPeAugpcGzM8hHyEP11lE87RYPe&index=1 -------- Our Latest "Three Minutes on Markets & Money: Will the Second-Half of 2022 Be Better than the First?" is here: https://www.youtube.com/watch?v=A5u70SPxPhA&list=PLVT8LcWPeAujOhIFDH3jRhuLDpscQaq16&index=1 -------- Our previous show is here: "Is it Time to Shop in Thrift Stores?" https://www.youtube.com/watch?v=tQVbVJQt7J8&list=PLVT8LcWPeAugpcGzM8hHyEP11lE87RYPe&index=1&t=2637s -------- Articles mentioned in this podcast: "Don't Fight the Fed" https://realinvestmentadvice.com/dont-fight-the-fed -------- Get more info & commentary: https://realinvestmentadvice.com/newsletter/ -------- SUBSCRIBE to The Real Investment Show here: http://www.youtube.com/c/TheRealInvestmentShow -------- Visit our Site: www.realinvestmentadvice.com Contact Us: 1-855-RIA-PLAN -------- Subscribe to RIA Pro: https://riapro.net/home -------- Connect with us on social: https://twitter.com/RealInvAdvice https://twitter.com/LanceRoberts https://www.facebook.com/RealInvestmentAdvice/ https://www.linkedin.com/in/realinvestmentadvice/ #Inflation #EarningsRecession #EconomicRecovery #OnllineBanking #CashIsKing #Annuities #Bonds #RiseAndShineAct #FloydLawson #AndyGriffith #BlueBellIcecream #Whataburger #NanaClara #Markets #Money #Investing

This week we are furthering our discussion on behavioral finance by talking about mental accounting. This concept boils down to the different values a person places on the same amount of money. Mental accounting often leads people to make irrational investment decisions and behave in detrimental ways, so we are breaking down the different advantages and disadvantages. We'll start with our list of top psychiatrists portrayed in movies and tv shows, then we'll discuss mental accounting bias, examples of mental accounting, and overall illogical decisions with finances. — The List: Top Psychiatrists in Pop Culture — Hashtags of the week: #MentalAccounting #Psychiatrists #Therapy #MakeRationalDecisions #NPH — Visit us online: www.bullcastpodcast.com Produced by Cameron Spann | Powered by Pickler Wealth Advisors Sound effects obtained from https://www.zapsplat.com

How many streaming services do you subscribe to? How many products are on Amazon Subscription in your Prime Account? Do you subscribe to satellite radio? How about music streaming? I think you get the point. We subscribe to everything. Subscriptions are as normal today as texting or drinking $6 versions of coffee that we can make for ourselves at home.  Subscriptions have a lot of appealing features to customers. In the U.S. Food and Beverage report by Attest, a consumer research platform, we learned that Of course, they also have a lot of benefits to the companies that offer them, not the least of which is a steady stream of income from its customer base.  In this episode, we explore the reasons why customer like subscriptions and how psychology influences these feelings. We also explain how behavioral sciences play a role there, too. Key Ideas to Improve your Customer Experience Many years ago, I subscribed to Amazon Prime to get faster shipping. As a result, I also get Amazon Prime streaming as part of the package, but it wasn't the driving force behind my decision. Now, the irony is that I choose Amazon Day delivery to reduce how many shipping packages I receive. So, apparently, I no longer need the fast shipping, but I won't cancel Amazon Prime because I don't want to lose the streaming service. This example is not uncommon among subscribers. Loss Aversion is a significant influence on our behavior when we continue to subscribe. Here are a few key moments in the discussion: 03:19  Before we get into the theories about why subscriptions work the way we do, we share some interesting examples of programs that are working, from phones to cars to…heated seats? 06:27  Colin shares some fascinating statistics revealed by Attest, a consumer research platform, in their latest Food and Beverage report. 11:14   Ryan explains the two perspectives regarding subscription services and what each of them likes best about it.     16:54   We discuss how Mental Accounting benefits from the lower installment pricing inherent in subscription programs. 20:33  We discuss the role of Loss Aversion in subscription service and how it can benefit organizations that offer them to customers. 29:17   We share our practical advice and what we think organizations should be wary of, or tragedy may ensue.       This podcast was done in partnership with Attest. Please tell us how we are doing! Complete this short survey.  Customer Experience Information & Resources LinkedIn recognizes Colin Shaw as one of the 'World's Top 150 Business Influencers.' As a result, he has 290,000 followers of his work. Shaw is Founder and CEO of Beyond Philosophy LLC, which helps organizations unlock growth by discovering customers' hidden, unmet needs that drive value ($). The Financial Times selected Beyond Philosophy as one of the best management consultancies for the last four years in a row. Follow Colin on LinkedIn and Twitter. Click here to learn more about Professor Ryan Hamilton of Emory University.  Why Customers Buy: As an official "Influencer" on LinkedIn, Colin writes a regular newsletter on all things Customer Experience. Click here to join the other 35,000 subscribers.  How can we help? Click here to learn more about Beyond Philosophy's Suite of Services.

How many streaming services do you subscribe to? How many products are on Amazon Subscription in your Prime Account? Do you subscribe to satellite radio? How about music streaming? I think you get the point. We subscribe to everything. Subscriptions are as normal today as texting or drinking $6 versions of coffee that we can make for ourselves at home.  Subscriptions have a lot of appealing features to customers. In the U.S. Food and Beverage report by Attest, a consumer research platform, we learned that Of course, they also have a lot of benefits to the companies that offer them, not the least of which is a steady stream of income from its customer base.  In this episode, we explore the reasons why customer like subscriptions and how psychology influences these feelings. We also explain how behavioral sciences play a role there, too. Key Ideas to Improve your Customer Experience Many years ago, I subscribed to Amazon Prime to get faster shipping. As a result, I also get Amazon Prime streaming as part of the package, but it wasn't the driving force behind my decision. Now, the irony is that I choose Amazon Day delivery to reduce how many shipping packages I receive. So, apparently, I no longer need the fast shipping, but I won't cancel Amazon Prime because I don't want to lose the streaming service. This example is not uncommon among subscribers. Loss Aversion is a significant influence on our behavior when we continue to subscribe. Here are a few key moments in the discussion: 03:19  Before we get into the theories about why subscriptions work the way we do, we share some interesting examples of programs that are working, from phones to cars to…heated seats? 06:27  Colin shares some fascinating statistics revealed by Attest, a consumer research platform, in their latest Food and Beverage report. 11:14   Ryan explains the two perspectives regarding subscription services and what each of them likes best about it.     16:54   We discuss how Mental Accounting benefits from the lower installment pricing inherent in subscription programs. 20:33  We discuss the role of Loss Aversion in subscription service and how it can benefit organizations that offer them to customers. 29:17   We share our practical advice and what we think organizations should be wary of, or tragedy may ensue.       This podcast was done in partnership with Attest. Please tell us how we are doing! Complete this short survey.  Customer Experience Information & Resources LinkedIn recognizes Colin Shaw as one of the 'World's Top 150 Business Influencers.' As a result, he has 290,000 followers of his work. Shaw is Founder and CEO of Beyond Philosophy LLC, which helps organizations unlock growth by discovering customers' hidden, unmet needs that drive value ($). The Financial Times selected Beyond Philosophy as one of the best management consultancies for the last four years in a row. Follow Colin on LinkedIn and Twitter. Click here to learn more about Professor Ryan Hamilton of Emory University.  Why Customers Buy: As an official "Influencer" on LinkedIn, Colin writes a regular newsletter on all things Customer Experience. Click here to join the other 35,000 subscribers.  How can we help? Click here to learn more about Beyond Philosophy's Suite of Services.

Mental accounting refers to the way different people tend to perceive the value of money. This is usually based on an individual's subjective criteria, which greatly vary from one person to another due to many factors. For instance, you might value a dollar differently when it is earned through work compared to when it is given to you. These differences in the way we classify funds tend to make us spend more or make irrational decisions about the money. A good example of this is when a person saves up for a vacation and uses his “savings jar” while having a considerable credit card debt at the same time. He would probably categorize his savings money differently from the money he uses to pay his debt and so be left with piling interest while having some money sitting in his jar. In the end, he could've just used the money to pay off his debt than pay a lot more interest just to have the vacation fund separated, right? The solution may seem straightforward but people still don't follow it. Another example is when a person makes an irrational investment decision after receiving his bonus. In his mind, this money is just additional cash so he can waste it without feeling guilty about it. As a result mental accounting often leads to poor financial decisions that will only make your financial situation worse. So be sure that you treat all your money equally and if you have extra money then you should use it wisely. WG Media now operates 50+ shows on all major platforms: Apple Google Spotify Subscribe for benefits: Bonus Episodes WG Originals Early Access Exclusives Archives

Where I give into my bias & reap a $120-for-fun reward. SmilingForSuccess22@gmail.com Instagram DebbieParkerNet

For many people, the start of a new year is an occasion to re-examine their lives, to set new goals and to give up old habits. Making New Year's resolutions is something of a social ritual, but we see similar behaviors around other significant dates, as well--such as birthdays and anniversaries and the changing of seasons. And while it can be argued that all of these dates are arbitrary, studies show that they can still give you a head start in achieving your goals.In this episode of Choiceology with Katy Milkman, we examine the common but not always rational phenomenon whereby people divide their lives into chapters. We look at ways to leverage this phenomenon to make better choices.The episode begins on a riverbank, with a religious rite symbolizing rebirth and renewal.Next, we hear about Ray Zahab's life changing New Year's resolution. What began as a simple plan to live a healthier lifestyle ended up taking him on incredible adventures all around the world. Ray is the author of the book Running For My Life.From Ray's story of personal transformation around an auspicious date, we pivot to a related tendency for people to separate their money into mental accounts. Money, like time, is fungible--one dollar is as useful as any other dollar--and yet people often divide their money into different categories. Why?Nobel laureate and best-selling author Richard Thaler explains the value of this cognitive bias and explores some of the peculiar behaviors people exhibit when they earmark their money for different purposes. And John Beshears of the Harvard Business School describes a study that exposes this bias in the way people perceive the value of grocery store coupons.Finally, Katy Milkman offers additional tips on leveraging these temporal landmarks and personal budgets to help you stick with your resolutions.Choiceology is an original podcast from Charles Schwab. For more on the series, visit schwab.com/podcast.If you enjoy the show, please leave a ⭐⭐⭐⭐⭐ rating or review on Apple Podcasts.Important Disclosures:All expressions of opinion are subject to change without notice in reaction to shifting market conditions.The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab.Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.(0122-10M4)

Today we discussed, Carbohydrates. We busted a myth about carbs, and went over some characteristics, and properties of carbohydrates and how they work. We also discussed a concept called Mental Accounting. Follow me on Instagram @leonbenson2. Download, Rate & Subscribe to the Podcast for more episodes. --- This episode is sponsored by · Anchor: The easiest way to make a podcast. https://anchor.fm/app Support this podcast: https://anchor.fm/passionpurposeperspective/support

Perhaps this scenario seems familiar. Let's say you generally do a good job of sticking to your monthly budget, but a rare opportunity arises—maybe a favorite musical artist is in town, or you've been invited to a friend's 25th anniversary event—and you blow past your regular spending limit. It's all right—you'll just have to tighten your belt a bit next month. But then your phone stops working, and you have to buy a new model. And now your car needs an expensive repair. Again, these are not ordinary expenses, so you chalk it up to life and go back to your usual budget. And then the invitation to a destination wedding arrives …In this episode of Choiceology with Katy Milkman, we explore a common error around the way individuals and organizations categorize seemingly exceptional expenses.Food trucks have come a long way since their humble beginnings as purveyors of meat pies and coffee for day laborers. Today, there's a stunning variety of culinary options: from simple french fries to French haute cuisine, from ice cream to iced lattes, from Vietnamese pho to Mongolian pot stickers. And while these businesses may seem relatively straightforward to run, food trucks and small restaurants run into their fair share of unexpected costs.You hear from two food truck entrepreneurs. Greg Golden runs the delightful Mustache Pretzels, which he built from the ground up in Phoenix, Arizona. Greg was confident in his idea and his product but quickly ran into a series of financially painful setbacks on his way to a thriving business.Howie Jeon started his food truck business, Yumpling, with two partners and found success providing Taiwanese-inspired dumplings and other fusion fare to the lunch crowd in Manhattan. But when it came time to expand into a permanent brick-and-mortar restaurant, Howie and his partners faced a litany of challenges, not least of which was a global pandemic.Abigail Sussman joins Katy to discuss the ways in which we tend to dismiss or miscategorize expenses that fall outside of our regular budgets. These categorization errors can have a profound impact on businesses large and small—and also on personal budgets. You'll hear about strategies to help deal with this tendency and to better prepare for expenses that seem exceptional but are often inevitable. Abigail Sussman is an associate professor of marketing at the University of Chicago Booth School of Business. You can read her research paper with Adam Alter titled The Exception Is the Rule: Underestimating and Overspending on Exceptional Expenses for more information on the phenomenon.Choiceology is an original podcast from Charles Schwab. For more on the series, visit schwab.com/podcast.If you enjoy the show, please leave a ⭐⭐⭐⭐⭐ rating or review on Apple Podcasts. Important DisclosuresAll expressions of opinion are subject to change without notice in reaction to shifting market conditions.The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab.Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed.The book How to Change: The Science of Getting from Where You Are to Where You Want to Be is not affiliated with, sponsored by, or endorsed by Charles Schwab & Co., Inc. (CS&Co.). Charles Schwab & Co., Inc. (CS&Co.) has not reviewed the book and makes no representations about its content.(0921-1A9D)

Pre-order Michele's book! deployempathy.com/order/Michele Hansen  00:00Welcome back to Software Social. This episode is sponsored by the website monitoring tool, Oh Dear. Oh Dear does everything they can to help you avoid downtime like scheduled task monitoring, SSL certificate expiration notifications and more. But downtime happens. When it does, it's how you communicate in times of crisis that make the difference. Oh Dear makes it easy to keep your customers up to date during critical times. You can sign up for a 10 day free trial with no credit card required at OhDear.app. Colleen Schnettler  00:35So Michele, do you have a,  Michele Hansen  00:38Hey,  Colleen Schnettler  00:38Good morning. Do you have a numbers update for us on your book? Michele Hansen  00:43I do. So my presale went live about a week and a half ago, when our episode with Sean went live. That was my deadline. And, I've sold 43 copies right now. Yeah, it's kind of exciting. Um, it's not all people I know, which is exciting. Colleen Schnettler  01:06That's very exciting. Michele Hansen  01:08I love how supportive people have been. And it also, it makes me, it's just reassuring that people I don't know are buying it. But yeah, so that puts it right now, just, and this is just the raw, you know, number of times $29, which is $1,247. Colleen Schnettler  01:30That's amazing. Congratulations. Michele Hansen  01:33Yeah. Thank you. And I got my first payout yesterday, which after, like, taxes, and everything else, was $912. Colleen Schnettler  01:41Wow. Michele Hansen  01:42Which was kind of exciting, and gives me a little bit of budget to work with, with, like, you know, hiring a proofreader, and using some, like, layout tools, but, you know, so I was pulling these numbers, and because, you know, everybody loves numbers and whatnot. And I was thinking about it. So, so I got this, this message from someone yesterday, who had started reading the book, and it was actually someone I don't know. And if I can just kind of read what they, what they said. Colleen Schnettler  02:25Yes, please.Michele Hansen  02:26And so I had a personal aha moment reading distinction between sympathetic, empathetic and solution based responses. My sympathetic conclusion based responses are leaving no space for empathetic, something I need to address. I'm an engineer and an architect by trade, and I'm looking to do a better job interviewing the humans attached to our work. But I'm also thinking about your book from the sense that a better balance of empathy will help me be a better teammate as well. And, like, getting that was so moving for me because it made me think about how, you know, I'm not writing this book for the money. Like, yes, the book needs to make money, because I've been working on it for four months now and have, you know, there's a lot of time I haven't spent working on Geocodio. Oh, like, I've been a pretty bad Geocodio employee the past couple of months, like, full honesty, right? So like, I have to, like, it has to have been, you know, worth my time. But like, I am not, I'm not motivated by that, like, I am motivated by this, by like, you know, like, I have this like, secret dream goal. Well, I mean, it's not a secret cuz I've, like, tweeted about it, but like, whatever. You know, Mathias sometimes says to me, he's like, I know you were thinking about something because you tweeted about it. And I'm like, oh, I forgot to, like, verbalize that. Anyway, um, I have this dream that through the process of learning this for interviewing, and, like, product development and marketing reasons, people will understand how to be more empathetic and use that in their daily lives. Like, everyone has a capacity for empathy. Everybody can learn it, not everybody is taught it or shown it so they don't really learn it. But everyone has a capacity for it. And, but also, like, very few people, you know, put like, be more empathetic, like, learn how to learn how to use empathy, like on their to do list every day. But they put write a landing page, get more customers, build a feature, like, reply to all of those customers and intercom like, those are the things that end up on a to do list. And so I have this like, kind of, I don't know, like, naive dream that like people will read this and apply these skills to the things they're already doing, but in doing so, learn how to be more empathetic in their daily life or you know, as a as a team member or whatnot. And just getting this message really, it was so motivating, but also so soul-nourishing because it really made me feel like, like the book has done what I wanted it to do. Like, this is what I set out to achieve and, like, this message makes me feel like the book is a success, regardless of how many copies it sells. Like, so it was just like, it was kind of a, it was kind of a, like a moment, like it was, it also sort of like if you're having this effect, like you can, like, stop rearranging it, like, you know, I feel like I've done a rewrite every week for, like, the past eight weeks. Yeah, time to time to ship the gosh darn thing. Colleen Schnettler  05:57That is wonderful. So what I just heard you say is, this book is secretly teaching us how to be better humans, wrapped up in a book about customer interviews. Michele Hansen  06:09Yes, wrapped up in a book about which features you should prioritize, and how to, you know, pick a pricing model based on what people's usage patterns are, and, like, how to understand what people want and write better landing pages. All that stuff they're already trying to do. But then yeah, there's, there's this kind of bigger message. Like, I feel like so much of good UX practice is good human being practice. Colleen Schnettler  06:35Yeah. Michele Hansen  06:36Um, and, I mean, I, I really learned about empathy by doing interviews myself. So this, I mean, it's, it's, it's very personal for me in a way that, like, the book is, I don't know, it is very, very personal for me. And it's not just about showing empathy to other people. It's also about showing empathy to yourself, too, which is just as important. Colleen Schnettler  07:06So I have not read the book yet, unfortunately. Can you tell me briefly, what the difference is between empathy and sympathy that that writer wrote into you? Because we talk about it a lot, but we've never defined it, really. Michele Hansen  07:22Yeah, that's true. So empathy is when you, basically when you, when you try to understand the other person's context without judgment, and it doesn't mean that you agree with what they're saying. You're just trying to find the context behind what they're saying or what they're doing. Because, sort of, most of us, basically, we assume that our, there's this assumption that our actions make sense from our perspective. That is to say you wouldn't go out and do something if it didn't make sense to you, like, maybe very few people might, but like, for the most part, we have this underlying assumption that, that the things that we do make sense to us.  And so you're basically trying to find that internal context for why somebody does something, and then you reflect it back for them. So for example, if you came to me and started telling me about how, like, I don't, I don't know something you were struggling with, like, let's say, you felt like you were banging your head up against the keyboard all week on some, like, coding problem and it was really frustrating for you. An empathetic response to that would be man, that sounds really hard and like you were working really hard on it and it was super frustrating for you. A sympathetic response would be, oh, I'm sorry you went through that. So a sympathetic response creates distance between the person who is speaking and the person who has aired something, and that might not be a complaint or a frustration. It could be like something positive, but it creates distance. And sometimes it's called fake empathy. Like, I feel like this is what you see in a lot of, like, really bad public figures, celebrity apologies. It's like, I'm sorry, that offended you. It's like, no, that's wrong. Like, like, that's not, that's not actually apologizing. And then there's also kind of this other element that I feel like is this sort of, like, solution-based responses, which comes from a place of caring, and I think us as product builders, I know me, like, we really fall into this, is someone, like, if you came to me with some, some problem. If I just said, oh, well, have you tried this? Which, I'm trying to solve your problem, I'm showing care, right? Like, I wouldn't propose a solution to your problem if I didn't care about you and making that solution better. The problem is, is that it doesn't validate your experience and it doesn't acknowledge your experience. So, while it comes from a good place, it's not empathetic because it doesn't say, wow, like, that was really hard for you. Like it doesn't, it doesn't fake make you feel seen or heard. And it could end up being, through the course of a conversation, you end up explicitly asking me like, do you have any advice for how I could do this? Like, what should I try? I feel like I've tried all these other things. But an empathetic response starts with acknowledging what the other person has gone through.  Colleen Schnettler  10:25Okay. Okay  Michele Hansen  10:26And then also checking in with them, like, do you, do you want me to listen to you about this? Or do you want me to help you brainstorm ideas? Colleen Schnettler  10:33Okay. Michele Hansen  10:33Like, so but I think that's, that's like one of those that really, like, it took me a while to wrap my head around that because the other thing about a solution response, especially in the context of a customer interview, or whatnot, is that you need all the context behind, behind why someone does something and why they went through something in order to really build something that solves the problem for them in a way that they understand and they're capable of grokking. Right? Because we need all of the context behind it, not just the functional context, but also sort of the emotional and social context of things in order to build a product that someone feels like is speaking to their experience and the problem they have. Does that make sense? Colleen Schnettler  11:18Yeah, it, it does. It's, it feels like a subtle difference, though. Like, when I try to understand your problem in your context, in your context, the sympathy for versus the empathy, like, it feels very subtle to me. Michele Hansen  11:34It is subtle, but like, um, I mean, it's, it's subtle. You know, it's the difference between, I'm sorry, that was hard for you and that was hard for you. Like, those are a subtle difference between them, but there is a huge difference between that and what someone would receive. Colleen Schnettler  11:53Yeah, I can see that. Michele Hansen  11:55And because when you say, I'm sorry, that happened to you, it emphasizes that it didn't happen to me. Colleen Schnettler  12:01Right, okay. Michele Hansen  12:01It actually, like, Brené Brown talks about this a lot. I'm sorry, that happened to you. It, it makes the other person feel more alone because it emphasizes that they are the only one who experienced that, and it makes them feel isolated.  Colleen Schnettler  12:18Okay.  Michele Hansen  12:19And she has a great way of responding, I'm sorry, of phrasing this, and I don't know if I'm doing it justice. But basically it creates that distance, and feeling alone and feeling like you're the only person who went through something is a really, really hard feeling, especially when you have just gone through something frustrating, and it doesn't have to be a big thing. It could just be, you know, the fact that I spent my week fighting with Grammarly, like, like that could be the problem we're discussing. And, but if you said oh, I'm sorry, you went through that, like, it reminds me that you didn't go through that.  Colleen Schnettler  12:55Hmm. Okay.  Michele Hansen  12:57And it was like, oh, yeah, that was like, maybe it was just me, like, maybe I was doing something wrong, like, am I using it wrong? Like is like, like, you know, it creates all of that doubt and feeling of sort of loneliness in it. Colleen Schnettler  13:11And so tell me the empathetic response again. Michele Hansen  13:14That sounds really hard. Colleen Schnettler  13:15That sounds really hard. Okay, right. So you're not, you're trying not to create that distance where they're an individual isolated, Michele Hansen  13:23Right. Colleen Schnettler  13:24And you're over here. Michele Hansen  13:25And it doesn't start out with I, right? Like, the sympathetic response to start with, you know, like, I'm sorry, that offended you.  Colleen Schnettler  13:33Okay. Michele Hansen  13:34Versus the difference between like, that offended you. Because when you say it that way, you're sort of asking for elaboration. Colleen Schnettler  13:41Right. Right. Michele Hansen  13:42Versus I'm sorry, I offended you just shuts it off.  Colleen Schnettler  13:46Wow, I say that all the time. I'm sorry, XYZ happened to you. Michele Hansen  13:50I said it all the time, too, then I started learning about this stuff. And I was like, I'm accidentally like, a jerk, and I didn't even realize it. But so many of us speak this way. And we learn the way we speak from the people around us. And if the people around you, when you were learning to speak, didn't speak empathetically, even if they're otherwise nice people. like, then it would make sense why you think this way and don't realize it. Colleen Schnettler  14:15Interesting. Michele Hansen  14:16Like, it's totally normal to not realize that what you have been saying is actually not empathetic. Like, like, it is a, it is a learned skill for many people. I mean, the people who have it built in are the people whose, you know, parents really made it a focus when they, when they had their kid. Like, but for most of us, it's kind of oh, I guess I should stop saying that. Like, I remember how at one point, like, when I was in my early 20s, I was at a job and somebody was like, you know, you really shouldn't say well, actually. Like, I don't know if you realize how you are coming across. Like, I know you don't mean anything by it, but like, it's, it's kind of like, and I was like, oh, crap, I do that all the time. Okay, like, mental note, like, mental dictionary update: stop. Like, so it doesn't, you know, it doesn't mean that you're not a nice person or that you're not an empathetic person or that you're not, you don't have a capability for empathy, it simply means that you haven't learned it and all of the various implications of it and we can call learn. Colleen Schnettler  15:15Okay. Yeah. Well, thank you for, for telling me about that. Like, that's really interesting. I didn't know that. I find that like, this whole thing, empathy and psychology, as I'm trying to, as I'm talking to people and trying to sell my product, I have found that it really, and I already knew this, but like, now I'm seeing it, it really makes a difference. Can I just tell you about this one issue, which I find so interesting? Michele Hansen  15:42Yes.  Colleen Schnettler  15:43Okay. So the way my product works is you upload files to the cloud, and then I provide you a dashboard where you can see all of those files. I have gotten several requests now from people to allow them to tag the files. Michele Hansen  16:02Oh, yeah, like Drew asked for that. Right? Colleen Schnettler  16:04Yeah. So I've been trying to figure out why people want to tag the files. He's not the only one who asked for it. Some other people have asked for it. The reason these people want to tag the files is because they want to be able to mass delete all of the files they've uploaded in a development environment. Why did they want to do that? From what I'm understanding, they want to do that so those files, like, because those aren't production files, they're not, like, cluttering up their dashboard. So when those people have asked me about this, I said, well, look, if you exceed your storage, because I don't have a mass delete function right now, and I don't have that, I'll just give you more storage. But nobody likes that answer. It's like, and so I think it's like a mental psychological thing where they want, like, a nice, clean dashboard. I don't know, I just find this really interesting, because I'm like, storage is cheap. I'll give you more storage until I implement this. But, but it's like, it's, like, as human beings, they really want, like, to segment stuff. I don't know, it's like mental. That's kind of the way I've been, I've been thinking about it. Like, as human beings, they don't want files that they don't need on their dashboard, even if they don't have to pay for them. But I'm like, I don't know. So, so that's just kind of been an interesting one for me. I'm like, but you literally like, I'm not gonna make you pay for those files. It's fine. They can just be there in outer space. But no one, yeah, that's an interesting one that keeps coming up. Michele Hansen  17:25Yeah, it sounds like they, like, that clutter is creating a certain like,  Colleen Schnettler  17:33Mental clutter or something psychological clutter. Michele Hansen  17:36Nervousness, or something. And then there's also this element of wanting to, like, mentally, like to mentally separate things like, I'm sort of, I'm reminded of one of my favorite economics papers called Mental Accounting by Richard Thaler, which is basically on how people like, they create different jobs for different bank accounts and investment accounts, and like, you know, for example, people might have one brokerage account that's just for, like, they have like fun money versus they have their serious 401k. Or like, some people have many different bank accounts for, you know, for different purposes. And it, there's, there's probably a broader term for this, but since I come from an econ background, that's, but like, people wanting to create these different mental categories, and basically, like, it's almost like they want to go, sort of, it's like mentally going to IKEA and buying one of those room divider shelves with all the different boxes you can slide boxes in and, like, being able to look at it and see that everything is in all of its little different categories and is in its place. And they know like, you know which things are in which box, and it looks all nice and organized from the outside. Colleen Schnettler  18:51Yeah, I am going to do it because I have found I use my own product for my clients, and I have found I desire the same thing. But I think you're absolutely right. Like, from a purely practical perspective, it doesn't matter. But from, like, a human organizational mental box perspective, like, it seems to make people happy. Michele Hansen  19:11Yeah, like, there's that functional perspective of it. But then there's the emotional perspective of feeling like everything is organized. And then I also wonder if there's a social element where like, maybe they're afraid one of their coworkers will use a file that was only for development, or because there's so many files and they're all in one list, someone will use the wrong file or, like, I wonder if there's any, any sort of elements around that going on? Colleen Schnettler  19:41Yeah. Could be. I didn't ask that. That's, Michele Hansen  19:47So when someone asks you for that, what did you say back to them, exactly? Colleen Schnettler  19:52Well, the first time someone asked me, I said, that's a great idea. I'm totally gonna do that.  Michele Hansen  19:58Okay. That's an understandable response.  Colleen Schnettler  19:59I know you're over there thinking, like, have I taught you nothing, Colleen? You have taught me. That was before we were doing a podcast. Michele Hansen  20:06No, that was a starting point, and that's a perfectly understandable reaction to that. What did you start saying after that? Colleen Schnettler  20:15So the second request I got was via email. So I didn't really have the back and forth that I would have had when I'm talking to someone on the phone or on Slack. And, so this person, I asked them kind of what their use case was, and I also told them in the email that they, you know, I wasn't going to charge them for development files. So if storage became a problem, we could work something out until I had the, you know, a bulk delete API set up. And this person was looking to segment files so they could do a mass delete of the development files. And they also brought up they thought it would be great to be able to segment files, like via model. So you could have, here's all my avatar files over here, here's all my resumes over here, which would be really cool. I mean, that I can totally see the value because and then you're then in your admin, yeah, then in your admin dashboard, you could easily filter based on, you know, what your tag was. And it's really not hard to do, I just haven't done it. But I do like, I do like that idea. And that, to me, makes a lot of sense because I think people really like, like we just talked about, like, you like to have your stuff in the appropriate boxes. Michele Hansen  21:34I think it's hard sometimes when somebody proposes an idea that we get the value of because we would use it ourselves. It can be really hard to say, can you walk me through how you would use that?  Colleen Schnettler  21:46Yeah it is. Michele Hansen  21:47Like, because their reasons may be different. And we really, we need all of those reasons because the reasons I would do something might be different than the reasons why somebody else would do something. But when we understand something, it feels very unnatural to ask for clarification, even when we don't need it. But it's so reasonable.  Colleen Schnettler  22:08That's exactly what it is. It feels so weird, because I'm like, yeah, totally. That's a great freaking idea. Yeah, it is odd. Michele Hansen  22:16I sometimes feel like it's, I wonder if this comes from, like, conditioning in school where, like, I feel like the kid who asks a lot of questions is, you know, sort of branded as annoying. I was definitely that kid in math class. Like, I just always seemed to understand it two weeks after the test. And I wonder if it's like that fear that like, oh, God, like, am I going to be the person who asks questions. And then we have this like, sense that being the person who asks questions, even one that might be sort of a quote, unquote, like dumb question that's clarifying something. Get you like, like, I wonder if there's kind of this built in social conditioning around that, that makes us not want to ask those clarification questions. And we're like, okay, I think I can guess what they want, so I'm just not gonna ask further about that. But, but when we're building a product, you need to be able to, like, look in all the different nooks and crannies of how they're thinking. Colleen Schnettler  23:08Yeah, definitely. That definitely is valuable. To your point, you might use it one way, and they might want it for something totally different. So I really do think, like, throughout the course of this podcast, and since we've been spending a lot of time talking about customer interviews over the past several months, that I've gotten way better at it, because it's, it's my instinct, just to say, yeah, I totally agree, because I do totally agree. So why, I think for me, it's not like, I'm not I don't I'm not scared of asking clarifying questions. I think it's more like, I don't want to waste any more time. Like, I'm like, okay, cool. Let's not waste anyone's time, and let's just go do it. So I have, I do really think I've grown a lot in that, in that kind of sphere of pausing, slow down Colleen, because not really good at slowing down. And, you know, kind of dive into what they want and why they want it. So I think that's been good. Michele Hansen  24:02It can be kind of tough as like, I feel like we're both pretty enthusiastic and kind of like, like, have you ever been called bubbly? Colleen Schnettler  24:11Yeah, of course. Michele Hansen  24:11Yeah, I have been called bubbly, too. Yeah. So like, I like feel like enthusiastic people want to be like, yeah, that sounds awesome. Like, it's so, it's so counter,to like how I would interact with someone socially. Colleen Schnettler  24:25Yeah, I agree. So, so anyway, that was something, I was thinking about that when you were talking all about, you know, empathy and sympathy and psychology, is how much these kinds of factors play into product building.  Michele Hansen  24:41Yeah and building an intuitive product that, that makes sense to people. Like it's, it's really hard to build something that's intuitive because it requires understanding the user's mental model of how something works, and you can't understand their mental model unless you have, you know, really, you know, poked through every nook and cranny of how they think about it. And also seeing what are the similarities at scale across many different customers. You can't just build it for one particular person, right? Like this, I think this is like, do we want to do we want to do more definitions? Because now I'm excited to get into definitions between Human Centered Design versus activities under design. But if we are, we are feeling good on definition today, then, Colleen Schnettler  25:29I don't know what those are. Yeah, go ahead. Michele Hansen  25:32So like, you probably hear people talk about human-centered design, right? Colleen Schnettler  25:37I mean, no, but okay, I believe you, so not me.  Michele Hansen  25:40So like humans, I feel like this kind of came really into it, like, especially in, in tech in the past, like, I don't know, 10,10-15 years, like, you like, think about the human behind it. And like, this is where a lot of like, agile stories come from, is like, as an administrator, I would like to be able to update the billing page, whenever we get a new credit card, like, like, those kinds of stories that if you've worked in the corporate world, you have seen the ads of so and so like, those kind of stories. And like, creating personas, and maybe there's like a picture of a person, and there's their age, and there's like, you know, like, all of those kinds of things that's very, like human-centered designs, and you're designing for people and understanding what those people need. Then there's activity-centered design, which is designing for things that people might be trying to accomplish, but not for specific people, if that makes sense. So it's like, so if you're thinking, I just used an example of like, a billing administrator. The human-centered design approach with a persona might be you know, this is Susan, and she lives in Iowa, she has been working in insurance for 20 years, she has a dog named Charlie, like she prefers to use her iPad on the weekends, but during the week, she uses Windows like, it's like that kind of stuff. Activity-centered design would be like, when billing administrators are going through this process, they want to be able to, you know, these are the different kinds of things they're thinking about, these are the different functions that they need to be able to do. Here are the different things they might be feeling. Like, do they want to be updating a credit card? Like, how does that make them feel, like, is that, is that enjoyable for them? Is that frustrating? Like, are there other people they're working with on this? Do they need to go get a p-card from someone else? Like, what is this entire process they're going through that is independent of them as a specific person and independent of the product? And then how does the product help them get through that entire activity, either easier, faster, or cheaper.  I feel like I just dropped like,  Colleen Schnettler  27:54There's a lot.  Michele Hansen  27:54A lot.  Colleen Schnettler  27:55I'm gonna have to re-listen to that one.  Michele Hansen  27:56But basically,  Colleen Schnettler  27:57So what's the, Michele Hansen  27:58Activity-centered is kind of the approach that I take. And that's the, the approach in the book is designing a process that exists regardless of the person and regardless of the process.  Colleen Schnettler  28:10Okay. Michele Hansen  28:10The product, I think I messed that up. Colleen Schnettler  28:13Okay, so which one is better? Do you have all the answers, Michele? Tell us. Michele Hansen  28:18I am not going to throw bombs in the design world here. I mean, you know, there's, there's value in designing for specific people, right, and, and specific types of people, especially when you're talking about accessibility and whatnot. But fundamentally, you know, like, activity center design is okay, what it, what is the thing that someone's trying to accomplish? For example, 500 years ago, you may have solved, you know, entertain me at home, when I'm alone on a Saturday night with cards or dice, right. And now you might solve it with Netflix. But that fundamental process that you're going through to not be bored when you're in your house on the weekend, like, that process and that desire is relatively constant, which is the thing about activity-centered design approaches is that you're looking at a process that is consistent over time, because you're speaking to sort of broader, underlying goals. And this types of products, someone might use the different functional and social and emotional things that might be important to them are different, but the overall process is the same. And so this is what I think about a lot when we're like thinking about the process that someone is going through and designing something that's intuitive for them and building that mental model is understanding, okay, why do they need to be able to tag things and why do they need to be able to mass delete these things, and what is this overall thing they're trying to do? And it sounds like it's sort of, to feel like all of their files are organized and they can find things when they want to, and that desire to be organized is a relatively consistent desire. Colleen Schnettler  30:03Yeah, I think one of the things, one of the phrases we use at work is to surprise and delight the user. And I feel like this falls into the surprise and delight category. Like it's not necessary, but it's delightful.  Michele Hansen  30:19You just used the phrase ‘at work'. Does that mean when you are working? Or? Colleen Schnettler  30:26Oh, just when I'm, just this company that I've been contracting for for a while likes to use that phrase. Michele Hansen  30:31Okay, gotcha. Colleen Schnettler  30:32So this to me feels, Michele Hansen  30:34I didn't know if you'd suddenly gone off and gotten a full time job without telling me. Colleen Schnettler  30:39Well, I'll tell you if I do that. I may be considering that. That's like a whole ‘nother podcast episode. I feel like we don't have enough time to dive into that. Michele Hansen  30:50We'll do that in a future episode. Colleen Schnettler  30:52Colleen's life decisions. But yeah, so, this feature, I feel like, is delightful. And when we talk about like design, you know, in the context, you were just saying, I think it does fit into the, the latter category. Michele Hansen  31:10Yeah. And I can, I can understand how someone, or you might even, or probably, I feel like if we had talked about this, like, six months or a year ago, the reaction kind of would be like, this feels like we're really splitting hairs over something that's super obvious, and why don't I just go build it? Colleen Schnettler  31:29Well, yeah, Michele Hansen  31:30Which, I think it's a very understandable reaction. Colleen Schnettler  31:34Yeah, I mean, I think the problem I'm having, and I know everyone in my position has this problem. It's just, there's just not enough time to do all these things. Like, one part of me wants to take like six months and just do all the things, right? And then the other part of me wants to balance my life with building this business, and is trying to be patient with, with my constraints as a human. So I know, you know, everyone has those, that struggle, everyone who's working and trying to do this. But yeah, I'd love to add all these things. Like, I want to do all the things of course I do. Michele Hansen  32:10Speaking of which, building the business, we started this episode with my numbers update. Do you want to give us a little numbers update before we go? Colleen Schnettler  32:31So I do want to tell a little story about this. Storytime. So, someone who's kind of a prominent bootstrapper had a tweet the other day about how for his SaaS, he just implemented file uploading using some JavaScript library, and it took him like, I don't know, like a day. So not an insignificant amount of time, but not a huge amount of time. It's a long time if you're a developer to take all day. But I saw, so, like, I saw his tweet, and I was like, oh, like, why didn't he use Simple File Upload? Like, clearly my product is crap. Okay, so this happened at like 9am. So then, like, later in the day, this just happened a couple days ago, I went to see if I had any new signups. And as you know, like, I've been pretty flat for like two or three weeks now, signups have been pretty flat. So, in one day, I got $325 boost in my MRR. One day. Michele Hansen  33:19What? Colleen Schnettler  33:20That has never happened in the history of my product, like ever. I was like, whoa. Michele Hansen  33:25So did someone Tweet it, like, add it to that thread, or, like what happened? Colleen Schnettler  33:29No, no one added it to the thread. And I didn't add it to the thread because he was clearly looking for a non-paid solution. So it seems like it wasn't that he hated my product or it was bad, he just wasn't looking for this kind of solution I was offering. I don't really know what happened. But a whole bunch of people signed up. Michele Hansen  33:50These two things happened on the same day, and you don't have any conclusively linking them, but it feels suspicious that they wouldn't be linked. Colleen Schnettler  34:00It's super weird, right?  Michele Hansen  34:01Yeah.  Colleen Schnettler  34:02Um, so I am trying to like, I'm just really starting to try and get into, like, Google Analytics and understand that. Anyway, so that was, my point of that story is like, you know, this is, we're never bored. I'm never bored, right? Like one day, I'm like, this thing is miserable. The next day, I'm like, I'm the most brilliant person in the world. Like, it's never, it's never boring. I guess my point of that story was it's all over the place. I'm all over the place with, with this product. And some days I feel like it's just not, not as good as it should be. Some days I feel like I'm charging too much. And then other days I have, like I realized I have, there's all this power in this thing I built that no one is utilizing. So that's something I really want to spend some time getting some content going out there and spend some time, like, showing people why it's more powerful than, than, you know, other solutions they've been using. Michele Hansen  34:58You seem really fired up.  Colleen Schnettler  35:00I am. I, I've just had like, a, it's been, like, a really good week. I mean, from a work perspective. And although I didn't get to spend the time, you know, I got, okay. I don't have a lot of time to spend on the product the next month or so, so I'm just taking it in little bits, right. And so this week, it's a tiny thing, but someone pointed out to me, and I think this also plays into psychology. Okay, so my marketing site is built in Tailwind UI. My application site is built off of Bootstrap. Bootstrap and Tailwind are not friends. I can't just throw Tailwind into my Bootstrap site. Michele Hansen  35:37If it makes you feel better, the Geocodio dashboard was on Bootstrap, and the Geocodio marketing website was on Railwind for, like, a really long time, like, like, you, like, we were on the like, 2013 version of Bootstrap for, like, a very long time. And it wasn't until like maybe six months or a year ago that we actually got them both on Tailwind. So you're not the only one. Okay, so back to yours. Colleen Schnettler  36:06So this. Okay, so if you are on my marketing site, and you click through to sign up to get the free trial, here's the thing that happens. The nav bars are different. Michele Hansen  36:17Mmm.  Colleen Schnettler  36:18Yeah, it's not good, and someone pointed it out to me. They were like, oh, I had to click back and forth a few times to make sure it was still the same application. And I was like, oh, my goodness. And so I can't, but it was like, it was, so it's just this visual thing. But this he pointed out, he was like, you know, that's, that made me think I was at the wrong place, it might make me close the window. Michele Hansen  36:40Yeah it might make them think something was wrong, or, like, they accidentally got led off to another site that wasn't the right one. And like, maybe it's, like, phishing or something, like. Colleen Schnettler  36:50Exactly, that's exactly what this guy said. And I was like, oh, my gosh. And so, so my, my Simple File Upload technical accomplishment this week, was basically like, and because I can't, my application is pretty complicated. I can't just pull out Bootstrap and drop in Tailwind. That's gonna take me forever. So I actually, like, just stole, stole is the wrong word. I grabbed some of the Tailwind styles and just over, you know, and overrode my Bootstrap styles just for the navbar. So anyway, the point is, now the nav bars look the same. And it's like, it sounds like a small thing. But like, I think the mental block for, if you sign up and I drop you to a totally different site, you're like, wait, what?  Michele Hansen  37:29Like, yeah, it's like, something is, like, the brain is a little bit like, danger, something is different. Colleen Schnettler  37:34Yeah, exactly. So, so another, so it was another big CSS week for me, which is not my forte, but I got it.  Michele Hansen  37:41I wrote JavaScript this week, which is not my forte. Colleen Schnettler  37:46Oh, jack of all trades.  Michele Hansen  37:48Well, we wrote stuff that, that's not our forte, and you're going back and forth between feeling like it's amazing and you've built something super powerful. And then, also feeling like it's, really has a long way to go, and is it ever going to get there, which, honestly, is how I feel, like, I feel the exact same way about my book. Like, every day, it's like, oh, my God, this is a hot mess. And then I'm like, actually, this is amazing and I should just publish it now. Like, I think that's, I think that's just like part of building something, whether it's a book or you know, software. I mean, yeah. Colleen Schnettler  38:31And honestly, I think it's part of the fun. Like, I honestly do, like I, it makes it interesting. Like, I've worked jobs that are really boring, and they're really boring. Like, this is way more exciting.Michele Hansen  38:52I think that's the thing I love about being an entrepreneur is that it's always different. And sometimes it's different in ways that are super boring and require a lot of paperwork. And sometimes it's different in ways that are like, super awesome, and exciting. But the fact that it is so different all the time is, is what makes it fun and makes me feel like I get to, like, feel lucky that I get to do this as my job.  On that note, perhaps we should sign off for this week. Thank you so much for listening. If you enjoyed this episode, please leave us a review on iTunes or tweet at us. We love hearing what you think about it. Have a good one.

Zach is coming to you solo in this special episode to share something that's be showing up a lot lately. Mental accounting is the phrase used to talk about a set of biases that makeup our (financial) decision making framework. Put simply, we're talking about how we view our money and how we assign our dollars value. Join in on this conversation and remember to submit your ideas for future episodes and tell us what financial conversations you've been having!Do you have suggestions for episodes? Reach out to Zach or Ben with your question at:ZAshburn@ReachStrategicWealth.comBen@GuideFP.comThe Dollar Derail is intended for general information and entertainment purposes only and should not be considered investment, tax, or legal advice or as a recommendation for the purchase or sale of any security. Zach is the founder of Reach Strategic wealth and Ben is the founder of Guide Financial Planning, 2 unaffiliated fee only Registered Investment Advisors.

Today John Vandergriff and Zach Hill go back and forth on a sub-category of behavioral finance, mental accounting.Find the notes for this episode here:https://blueridgewealth.com/podcast-notes-s2e7/Find all our podcast episodes here:https://www.buzzsprout.com/1208288Watch our episodes on YouTube:https://youtube.com/playlist?list=PLsEeilQ03hrXleCYwXwuA7yMQ2pzAF8KBFor more information about our podcast, visit our landing page:www.backandforthpodcast.comTo schedule a meeting:https://blueridge.timetap.comTo schedule a phone call:https://blueridgephonecall.timetap.com

There are many cognitive biases we exhibit that get in the way of good money decisions. This week, Dr. Dan discusses one of the biases we can actually use to our advantage. Connect with Dr. Dan at www.drpallesen.com and on Facebook, Instagram, and LinkedIn.

Series 2, Episode 10 and we look at the way we put money into specific pots. We're looking at Mental Accounting.

Learn about how to avoid the too-familiar trap of mental accounting, the story of when a glitchy instrument led to evidence for the Big Bang, and the real science behind how to make cut flowers last longer.   Is That Real Money Or Fun Money? The Familiar Trap Of Mental Accounting  by Ashley Hamer Thaler, R. H. (1999). Mental accounting matters. Journal of Behavioral Decision Making, 12(3), 183–206. https://onlinelibrary.wiley.com/doi/abs/10.1002/(SICI)1099-0771(199909)12:3%3C183::AID-BDM318%3E3.0.CO;2-F  Choices, Values, and Frames | Handbook of the Fundamentals of Financial Decision Making. (2020). Worldscientific.Com. https://www.worldscientific.com/doi/abs/10.1142/9789814417358_0016  Lehrer, J. (2011, February 14). The Curse of Mental Accounting. Wired; WIRED. https://www.wired.com/2011/02/the-curse-of-mental-accounting/  Mental Accounting Definition. (2020). Investopedia. https://www.investopedia.com/terms/m/mentalaccounting.asp  That time a glitchy instrument led to evidence for the Big Bang by Cameron Duke A Science Odyssey: People and Discoveries: Penzias and Wilson discover cosmic microwave radiation. (2020). Pbs.Org. https://www.pbs.org/wgbh/aso/databank/entries/dp65co.html Holmdel Horn Antenna. (2020). @apsphysics.  https://www.aps.org/programs/outreach/history/historicsites/penziaswilson.cfm Wall, M. (2014, May 20). Cosmic Anniversary: “Big Bang Echo” Discovered 50 Years Ago Today. Space.Com; Space. https://www.space.com/25945-cosmic-microwave-background-discovery-50th-anniversary.html How to make cut flowers last longer by Ashley Hamer (Listener question from Lisa) What’s In Your Flowers’ Food? | Bouqs Blog. (2018, July 17). The Bouqs Co. Blog. https://bouqs.com/blog/whats-in-your-flowers-food/  ‌S.E. Gould. (2013, January 20). Making sugar from carbon dioxide: The Calvin Cycle. Scientific American Blog Network. https://blogs.scientificamerican.com/lab-rat/making-sugar-from-carbon-dioxide-the-calvin-cycle/  The Science of Keeping Flowers Fresh | Experiments | Steve Spangler Science. (2019). The Lab. https://www.stevespanglerscience.com/lab/experiments/science-keeping-flowers-fresh/  ‌Curtin, C. (2007, February 14). Fact or Fiction?: Vodka and Citrus Sodas Keep Cut Flowers Fresh. Scientific American. https://www.scientificamerican.com/article/fact-or-fiction-vodka-citrus-sodas-keep-flowers-fresh/  ‌Nell, T.A., Reid, M.S. (2004, January) Special Research Report #410: Postproduction - The Three C’s of Success with Fresh Cut Flowers (2) – “Cleanliness”. The American Floral Endowment. https://endowment.org/wp-content/uploads/2014/03/410postprod.pdf Nell, T.A. (2004, June) De-myth-tifying Cut Flower Care. Florists Review. P. 51-54. https://web.archive.org/web/20040618065419if_/http://www.floristsreview.com/main/june/featurestory.html   Subscribe to Curiosity Daily to learn something new every day with Ashley Hamer and Natalia Reagan (filling in for Cody Gough). You can also listen to our podcast as part of your Alexa Flash Briefing; Amazon smart speakers users, click/tap “enable” here: https://www.amazon.com/Curiosity-com-Curiosity-Daily-from/dp/B07CP17DJY  See omnystudio.com/listener for privacy information.

Have you ever wondered why you think about money in certain ways? How come it's more painful to lose some money but not others? Why doesn't it feel twice as good to make $2,000 dollars than $1,000? Let us help you understand why.We'd like to thank John Nofsinger and his book The Psychology of Investing Mental Accounting infographicWant to start your own podcast? Check out Buzzsprout here! https://www.buzzsprout.com/?referrer_id=819454

A big part of a financial advisor’s work is to help clients budget their money towards different objectives and time horizons. Bucketing is a concept you may be familiar with, which can enable people to understand where their money is today, and where they want it to be in the future. The behavioral concept that provides the foundation for bucketing is known as mental accounting. Jason Smith joins the podcast to discuss his mission to simplify the planning process and strengthen financial literacy around the globe, including details from his book The Bucket Plan.  For full show notes and links mentioned in this episode, visit http://bmogam.com/betterconversations.

Mental accounting attempts to describe the process whereby people code, categorize and evaluate economic outcomes… in other words, we often tend to place a different value on our money, depending on where it comes from - think salary vs bonus - they way we treat different categories of money is different.Need to speak to a financial advisor? Visit www.oakmontadvisory.com.[5:32] - What is Mental Accounting[8:00] - Concept of Fungibility [12:42] - Who is more likely to avoid Mental Accounting traps[17:00] - Tips on how to avoid Mental Accounting After the Show-Show[28:15] - The After the Show-Show beginsHow to avoid mental accounting:Know what you haveCreate a purpose for inflows and outflowsStop keeping everything in your mind and write it downGet a budgetTranslate your goals from your brain to a binderGet an accountability buddy to help youTalk about itLabel your accounts! Actually label themEmergency, travel, baby, soccer, retirement 

Our guest on the podcast is Dr. Brigitte Madrian, a leading light in the field of behavioral economics. She is the dean and Marriott Distinguished Professor in the Brigham Young University Marriott School of Business. Dr. Madrian has a joint appointment in the Department of Finance and the George W. Romney Institute of Public Service and Ethics.Household savings and investment behavior have been key focuses of her research, and her work in these areas has influenced the design of 401(k) plans and pension reform legislation. She also uses the lens of behavioral economics to understand health behaviors and improve health outcomes. BackgroundBrigitte Madrian bio and research archiveEmergency Funds/Decision-Making Under Financial DuressIntertemporal choiceBeshears, J., Choi, J.J., Iwry, J.M., John, D.C., Laibson, D., & Madrian, B.C. 2020. “Building Emergency Savings Through Employer-Sponsored Rainy Day Accounts.” Tax Policy and the Economy, Vol. 34, National Bureau of Economic Research. Benartzi, S. 2020. “People Don’t Save Enough for Emergencies, but There Are Ways to Fix That.” The Wall Street Journal, Feb. 17, 2020. Harvey, C.S. 2019. “Unlocking the Potential of Emergency Savings Accounts.” AARP Public Policy Institute, October. Tergesen, A. 2019. “Employers Help Workers Build Household-Emergency Funds.” The Wall Street Journal, June 13, 2019. Pension Rights Center. 2019. “How Many Workers Participate in Workplace Retirement Plans?” July 15, 2019. Eisenberg, R. 2017. "R.I.P. myRA Retirement Account, Gone Too Soon." Forbes.com. July 28, 2017. Mental accounting Retirement SavingsBenz, C., & Levine, J. 2020. “What Does the CARES Act Mean for Retirement Accounts?” Morningstar.com. April 3, 2020. Madrian, B.C., & Shea, D.F. 2000.“The Power of Suggestion: Inertia in 401(k) Participation and Savings Behavior.” The National Bureau of Economic Research, May 2000. Finke, M. 2015. “Brigitte Madrian’s Power of Suggestion--and How It Improved Retirement.” ThinkAdvisor, Aug. 31, 2015. Madrian, B.C. 2014. “That Was Easy: The Importance of Auto Features in Promoting Retirement Savings.” AARP Public Policy Institute, October 2014. Rosenberger, J. 2019. “The Woman Behind the Way You Save for Retirement.” Guideline blog, April 4, 2019. Choi, J.J., Laibson, D., & Madrian, B.C. 2007. “$100 Bills on the Sidewalk: Suboptimal Investment in 401(k) Plans.” The National Bureau on Economic Research, December 2007. Choi, J.J., Laibson, D., & Madrian, B.C. 2007. “Mental Accounting in Portfolio Choice: Evidence from a Flypaper Effect.” The National Bureau of Economic Research, September 2007. Choi, J.J., Laibson, D., & Madrian, B.C. 2001. “For Better or For Worse: Default Effects and 401(k) Savings Behavior.” The National Bureau of Economic Research, December 2001. Carroll, G.D., Choi, J.J., Laibson, D., Madrian, B.C., & Metrick A. 2005. “Optimal Defaults and Active Decisions.” The National Bureau of Economic Research, January 2005.Beshears, J., Choi, J.J., Laibson, D., Madrian, B.C., & Skimmyhorn, W.L. 2016. “Does Borrowing Undo Automatic Enrollment’s Effect on Savings?” The National Bureau of Economic Research, August 2016.

A grande richiesta, in questo episodio Luca e Lorenzo prendono in esame uno dei processi mentali più importanti in tema di Finanza Personale, il Mental Accounting (o contabilità mentale). Che cos'è, e come può diventare un valido alleato dell'investitore? Come s'impara a fare budgeting? E cosa vuol dire, davvero, investire per obiettivi? Uno dei temi più richiesti dai nostri ascoltatori è proprio questo: come padroneggiare la corretta mentalità di divisione mentale del denaro.In quale modo diventare dei maestri di contabilità mentale, un po' come facevano i nostri nonni, può migliorare la nostra situazione finanziaria personale?Come si può acquisire una giusta consapevolezza di come spendiamo i nostri soldi?Come mai 20.000€ in più in meno nell'acquisto della casa non ci fanno troppa differenza, e invece quando andiamo al supermercato 5€ in più ci mandano fuori di testa?Perché il nostro cervello fa così fatica a lavorare con numeri, percentuali, sconti, importi relativi e importi assoluti?E cosa vuol dire imparare ad investire per obiettivi? Cosa cambia rispetto alle logiche di investimento mediamente più diffuse?In questi tempi di crisi, poi, si comprende ancora di più l'importanza del risparmio e dei "cassetti mentali" in cui è diviso il proprio patrimonio. Questi, e tanti altri ancora, gli spunti di riflessione (praticamente attuabili) sul tavolo. Abbiamo parlato di: Mental Accounting, o contabilità mentale. Che cos’è? (min. 2.45)La bottiglia d’acqua da 8€ (min 6.30)L’unico (vero) rischio da evitare (min 11.00)Come “conoscere se stessi” finanziariamente: il budgeting (min 14.30)Chi si salverà in questa recessione? (min 19.00)1€ non è sempre 1€: termini relativi ed assoluti (min 26.00)Come imparare a valutare le spese (min 31.45)Che cos’è il goal-based investing? (min 35.00)La grande idiozia dell’ unico “grado di rischio” (min 43.30)Questa è la (vera) finanza personale (min 45.00)--Clicca qui per accedere a LIXI STRATEGY: https://lixistrategy.comDomande e feedback a staff@lixiinvest.comVisita www.lixiinvest.com e www.wikilixi.com

In today's episode, Amy Walls explains several biases in investing.Why is this important?We don’t know what we don’t know.It’s easy to think we are looking at all of the information. And being open-minded to it.It’s human nature to have an opinion.Recognizing biases and then finding the truth allows for a better assessment of the situation.There are many biases in investing, and today we will cover just a few, including confirmation bias, loss aversion bias, mental accounting, and illusion of self control.Thimbleberry Financial WebsiteEmail Thimbleberry FinancialCall Thimbleberry Financial at 503-610-6510

In the fifth episode, listen to Anees Rao talk about how mental accounting and Parkinsons Law can work in your favour to help you make better decisions with both your time and your money. You can check out this Wait But Why article for more about time boxing. --- Send in a voice message: https://anchor.fm/anees-rao/message

Please tweet me @fiscalyogi, write to me at hello@fiscalyogi.com.  Some good books about cognitive biases: The Art Of Thinking Clearly by Rolf Dobelli The Undoing Project by Michael Lewis Thinking Fast and Slow by Daniel Kahneman Nudge by Richard Thaler --- Send in a voice message: https://anchor.fm/anees-rao/message

Seguimos con la serie de Sesgos de Inversionistas. El sesgo del episodio de hoy: Mental Accounting, que en pocas palabras es el fenómeno de tratar dinero de diferentes fuentes de diferentes maneras.

Seguimos con la serie de Sesgos de Inversionistas. El sesgo del episodio de hoy: Mental Accounting, que en pocas palabras es el fenómeno de tratar dinero de diferentes fuentes de diferentes maneras.

Hopefully, you tuned in last week for the special anniversary episode, where I went over the top episodes by downloads, your votes and some of my favorites. I also gave some of my book recommendations and a sneak peek behind the scenes with the top questions I get asked, the weird thing I hear all the time now…and so much more. Today, we are back into the swing of things with a behavioral economics foundations episode on mental accounting. This concept was mentioned briefly in the biases series, but today we are going to dig into what this really is and just how much it impacts our approach to money, risk, time and more. CLICK HERE FOR YOUR FREE DOWNLOAD! Show Notes: [05:02] The concept of mental accounting was introduced by nobel prize winner Richard Thaler, and is based on humans’ illogical approach to value in relative terms instead of looking at it as an absolute. [05:31] Three examples by Richard Thaler of mental accounting.  [07:41] These are all examples of the way that mental accounting can impact the decisions we make. [08:17] Money and accounts should be perfectly fungible (that is an economics term for interchangeable). It shouldn’t matter if money was in a savings account, or a checking account or your pocket or a 401k…it would all exchange exactly the same. [09:32] Our brain segregates when thinking about money. This is one of the reasons the field of behavioral economics was needed…traditional economics does not account for the importance of this phenomenon. [10:10] The three ways money is commonly labeled: expenses are grouped into budgets like food, rent, and entertainment. Wealth is separated into accounts (checking, emergency or “rainy day” funds, and retirement). And lastly income is looked at in categories: namely regular or windfall. [12:35] Much like regular accounting, in mental accounting, individuals will book and post any occurring or planned transactions to the mental account. [15:59] When businesses are reporting their year-end earnings and losses, they always want to have a positive year end, which could make it tempting to hold on to losses until the next year. [16:42] If you are looking like you are going to have a bad year and have no option but to take a loss, general wisdom is to throw in as much negative and expense as you can. If it is going to be negative, might as well have it all come in at once. (Known as “taking the big bath”) [17:13] Adding a small amount to an already large payment doesn’t feel the same as having that payment on its own. This is because of decoupling – where you remove the pain of the payment away from the joy of the purchase. [18:28] There are some times where people significantly prefer to prepay over delaying their payments. Vacations are enjoyed more when they are prepaid because they feel free. [24:10] The way the consumer uses their mental accounting transforms something that can be very expensive hobby (like wine collecting) into one that is seen as free. [25:24] People can and often do plan for expenses in one way and experience it completely differently in the moment. [26:57] Internalize how the brain is wired to make its decisions around mental accounting. Think about how this has impacted you and how it can impact your customers. [27:52] Expenses are thought about in budgets, and wealth is considered in accounts. [28:03] The most tempting and easiest accounts to spend from are the current assets, this is your checking account and physical cash. [28:13] It's less tempting to spend from the current wealth category, which is made up of other liquid assets – savings accounts, stocks, bonds, and mutual funds. [28:33] The next, even less tempting category is equity (like that in a home or car you own). Future income is the least tempting category. These are your retirement accounts. [29:27] Those who have issues with self control should set up accounts that are off limits and put together automatic transfers so they are not tempted. [31:03] An example of losing a movie ticket and losing $10 that shows when the loss is associated with the outing to the movies, it is aversive, but when it is not associated with the outing, it is still annoying, but doesn’t impact the mental account for the movie. [31:22] Money that you earn in your paycheck is considered different than money you win in the lottery or find on the ground. [32:58] How will the mental account allocation impact the way the gift is used? And how does that line up with the intention behind the gift? [35:54] While losses should be lumped together, gains should be separated out to really feel their value - don’t wrap all the Christmas presents in one box.  [36:26] Brands can use mental accounting to their advantage in the way they advertise products. How can you use this frame on mental accounting in your business? [37:03] Mental accounting impacts more than money.   [39:43] Context is important in the way that people react. [42:53] Being aware of how the sausage is made can impact your enjoyment of it. Keep this in mind when you present pricing to customers. [43:10] One other scarce resource impacted by mental accounting is time. [43:41] Labeling time as only in the “family time” account makes it so “work time” isn’t even in the consideration of what to do on Saturday morning.  [45:20] Are there times where you are wasting high value productive time? Take a step back and think about how you could better allocate your mental time account. Thanks for listening. Don’t forget to subscribe on Apple Podcasts or Android. If you like what you heard, please leave a review on iTunes and share what you liked about the show.  Links and Resources: Episode 55. Special Anniversary Episode: Celebrating the First Year of the Podcast Episode 45. Overview of Personal Biases The Brainy Business on Facebook The Brainy Business on Instagram The Brainy Business on YouTube Always Leave Home Without It: A Further Investigation of the Credit-Card Effect on Willingness to Pay A 1-minute clip from a Dustin Hoffman interview sums up the life’s work of a Nobel-winning economist Episode 16. Behavioral Economics Foundations: Framing Bank of America Keep the Change Episode 9. Behavioral Economics Foundations: Loss Aversion Episode 51. Behavioral Economics Foundations: Time Discounting The Red and the Black: Mental Accounting of Savings and Debt Invest now, drink later, spend never: On the mental accounting of delayed consumption Mental Accounting Matters Choices, Values, and Frames Episode 30. Booms and Busts Episode 8. What is Value? Here’s what the average NFL player makes in a season Mental Accounting and Consumer Choice Episode 5. The Truth About Pricing

2019-2020 Teacher of the Year at Isaac Bear Early College High School in Wilmington, North Carolina: Morgan Mannion joins to discuss her journey seeking financial freedom as a 9th-grade, Honors History teacher. We discuss her most recent financial adventures including buying her first home, a trip to the ER after a raccoon incident, and creative, affordable ways to travel internationally. We also discuss the theory of "Mental Accounting", savings tips, and an important day in financial history.

Was hat unser Kontostand mit der Beziehung zu uns selbst zu tun? Was hat Selbstliebe mit Geld zu tun? Hey ihr Lieben, ich hatte die bezaubernde Desiree Benke als Interviewgast in meinem Podcast. Desi ist ein liebevoller Mensch mit einem wundervollen Humor und wir hatten so viel Spass bei dem Interview! Sie arbeitet als Money Mindset & Business Coach und kombiniert Spiritualität,Geld und Weiblichkeit auf eine leichte Art und Weise. Desi coacht Frauen und löst ihre Glaubenssätze über Geld auf mentaler und energetischer Ebene auf. In diesem Interview erfährst du: über das Money Mindset wie unser Mindset unsere Wahrnehmung bestimmt wie Desi zum Coach wurde wie man Geld anfangen zu lieben kann und wieso unser Kontostand mit der Beziehung zu uns selbst zu tun hat Tipps wie man Geld behält Desi's Kontenmodell Das Interview kannst du auch auf Youtube finden: https://youtu.be/KIGjjzUxchU Lass mir gerne deine Gedanken dazu auf Instagram : http://bit.ly/2TGDCvn ( @_freigeist__ ) und lass Desi und mich wissen was für wertvolle Erkenntnisse du von der Folge mitnehmen konntest. Oder like meine Facebook Seite: http://bit.ly/2WuqBqs und komm in die Facebook Gruppe um dich mit Gleichgesinnten auszutauschen:http://bit.ly/2TKpdhP Bücherempfehlungen: Ein Hund namens Money von Bodo Schäfer: https://amzn.to/2OU2YFl Hier ist der Link zum Gratis PDF Download des Buches: https://aktion.bodoschaefer.de/ein-hund-namens-money Get Rich, Lucky Bitch von Denise Duffield-Thomas: https://amzn.to/2OPfiqm Rise Sister Rise von Rebecca Campbel: https://amzn.to/2WJnHOQ Das Kontenmodell welches Desi benutzt: Mental Accounting, 6 Kontenmodell Hier findest du alle Links zu Desi: linktr.ee/desiree.benke Du findest sie auch auf Instagram unter : @desiree.benke. Ihren Podcast findest du unter : https://apple.co/2UtMLMp Auf Facebook findest du sie unter: http://bit.ly/2ORRKkT Ich freue mich,wenn du mir eine Bewertung auf Itunes hinterlässt: https://apple.co/2TNbPcZ Du bist ein Geschenk für diese Welt. Danke,dass du dir Zeit nimmst für meinen Podcast. Das bedeutet mir viel! Spread your wings and fly, Hari Om {the universe is here with us}, deine Renate❤️

What do company benefits, birthday presents, and IOUs have in common? That's what we're talking about in today's episode of Developer Tea

Cheap or expensive isn't always about price – in our minds anyway. Factors like place, plushness and percentages all sway our spending decisions. So how can we outwit ourselves to use our money better? See acast.com/privacy for privacy and opt-out information.

Not all pounds are created equal. Most of us tend to treat money differently depending on where it came from. Why do we do that? What effects can it have? And how can we make smarter choices? See acast.com/privacy for privacy and opt-out information.

Этот выпуск в YouTubeКак это иногда бывает, тему этого выпуска сложно определить. Тут есть все от Славиной статью об ошибках в английском влияния окружения на чтение и психологических аббревиатур FOMO и FUD.* Подкаст Soft Skills Engineering* ДОУ опубликовал статью Вячеслава "Learn your mistakes, или Как исправлять свои ошибки в английском" * Оптимистичные наблюдения* Новости year of liberation* Влияние места на то, как мы выполняем различные задачи* Fear of missing out (FOMO)* Fear, Uncertainty, and Doubt* Вольный пересказ лекции "Mental Accounting" от Вячеслава* 2-я теорема Вейерштрасса* Снова opportunity cost* Cliffhanger: "Ты играешь в компьютерные игры?"

Этот выпуск в YouTube: https://youtu.be/D1cmlsKhRcU Как это иногда бывает, тему этого выпуска сложно определить. Тут есть все от Славиной статью об ошибках в английском влияния окружения на чтение и психологических аббревиатур FOMO и FUD. * Подкаст Soft Skills Engineering (https://softskills.audio) * ДОУ опубликовал статью Вячеслава "Learn your mistakes, или Как исправлять свои ошибки в английском" (https://dou.ua/lenta/articles/learn-your-mistakes-in-english/) * Оптимистичные наблюдения * Новости year of liberation * Влияние места на то, как мы выполняем различные задачи * Fear of missing out (FOMO) (https://en.wikipedia.org/wiki/Fear_of_missing_out) * Fear, Uncertainty, and Doubt (https://en.wikipedia.org/wiki/Fear,_uncertainty_and_doubt) * Вольный пересказ лекции "Mental Accounting" от Вячеслава * 2-я теорема Вейерштрасса (http://ib.mazurok.com/2013/05/18/sec-theor-veyer/) * Снова opportunity cost * Cliffhanger (https://en.wikipedia.org/wiki/Cliffhanger): "Ты играешь в компьютерные игры?"

For many people, the start of a new year is an occasion to re-examine their lives, to set new goals and to give up old habits. Making New Year’s resolutions is something of a social ritual, but we see similar behaviors around other significant dates, as well--such as birthdays and anniversaries and the changing of seasons. And while it can be argued that all of these dates are arbitrary, studies show that they can still give you a head start in achieving your goals. In this episode of Choiceology with Katy Milkman, we examine the common but not always rational phenomenon whereby people divide their lives into chapters. We look at ways to leverage this phenomenon to make better choices. The episode begins on a riverbank, with a religious rite symbolizing rebirth and renewal. Next, we hear about Ray Zahab’s life changing New Year’s resolution. What began as a simple plan to live a healthier lifestyle ended up taking him on incredible adventures all around the world. Ray is the author of the book Running For My Life. From Ray’s story of personal transformation around an auspicious date, we pivot to a related tendency for people to separate their money into mental accounts. Money, like time, is fungible--one dollar is as useful as any other dollar--and yet people often divide their money into different categories. Why? Nobel laureate and best-selling author Richard Thaler explains the value of this cognitive bias and explores some of the peculiar behaviors people exhibit when they earmark their money for different purposes. And John Beshears of the Harvard Business School describes a study that exposes this bias in the way people perceive the value of grocery store coupons. Finally, Katy Milkman offers additional tips on leveraging these temporal landmarks and personal budgets to help you stick with your resolutions. Choiceology is an original podcast from Charles Schwab. For more on the series, visit schwab.com/podcast. If you enjoy the show, please leave a ⭐⭐⭐⭐⭐ rating or review on Apple Podcasts. Important Disclosures: All expressions of opinion are subject to change without notice in reaction to shifting market conditions. The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed. (0119-8C4W)

Choiceology with Katy Milkman returns after the holidays, starting with a special New Year’s episode on January 7. In the meantime, you can listen to all of our past episodes online or in your podcast app of choice. Choiceology is an original podcast from Charles Schwab. For more on the series, visit schwab.com/podcast. If you enjoy the show, please leave a ⭐⭐⭐⭐⭐ rating or review on Apple Podcasts. Important Disclosures: All expressions of opinion are subject to change without notice in reaction to shifting market conditions. The comments, views, and opinions expressed in the presentation are those of the speakers and do not necessarily represent the views of Charles Schwab. Data contained herein from third-party providers is obtained from what are considered reliable sources. However, its accuracy, completeness or reliability cannot be guaranteed. ((1218-8WAZ))

A hundred dollars is a hundred dollars is a hundred dollars, right? Well, no. Not according to our brains. In this episode, Mel and Dan explore how mental accounting influences the way we spend and save, and how brands can use this knowledge to make bank.

The Moneywise Guys Monday, November 13th www.MoneywiseGuys.com  

Sarah, Ezra, and Matt talk about CHIP reauthorization, the Supreme Court's big gerrymandering case, and a seminal Richard Thaler paper (Mental Accounting and Consumer Choice). Learn more about your ad choices. Visit megaphone.fm/adchoices

Guest author Claire on I Will Teach You to be Rich shares takeaways form the book "Why Smart People Make Big Money Mistakes." Episode 319: Mental Accounting: Why Smart People Make Big Money Mistakes by Claire with IWT (Investing Mistakes). Instead of saying “no” to spending on everything, Ramit wants to use money to say YES. He knew there was a better way to live a rich life—if we could use psychology to focus on what actually works. Not just for personal finance, but all aspects of life: money, careers, relationships, business, fitness and more. Since then, he's been testing and sharing his findings with the world via I Will Teach You To Be Rich. He's also written a New York Times bestselling book, been profiled in a 6-page Fortune article and pictured next to Warren Buffett Forbes Magazine, and have been featured by a long list of media, including the Wall Street Journal, ABC News, NPR, Fox Business, PBS, CNBC and more. He also has tons of documented success stories—more than 20,000. The original post is located here: http://www.iwillteachyoutoberich.com/blog/mental-accounting-why-smart-people-make-big-money-mistakes Please Rate & Review the Show! Visit Me Online at OLDPodcast.com and Join the Ol' Family to get your Free Gifts Learn more about your ad choices. Visit megaphone.fm/adchoices

Guest author Claire on I Will Teach You to be Rich shares takeaways form the book "Why Smart People Make Big Money Mistakes." Episode 319: Mental Accounting: Why Smart People Make Big Money Mistakes by Claire with IWT (Investing Mistakes). Instead of saying “no” to spending on everything, Ramit wants to use money to say YES. He knew there was a better way to live a rich life—if we could use psychology to focus on what actually works. Not just for personal finance, but all aspects of life: money, careers, relationships, business, fitness and more. Since then, he's been testing and sharing his findings with the world via I Will Teach You To Be Rich. He's also written a New York Times bestselling book, been profiled in a 6-page Fortune article and pictured next to Warren Buffett Forbes Magazine, and have been featured by a long list of media, including the Wall Street Journal, ABC News, NPR, Fox Business, PBS, CNBC and more. He also has tons of documented success stories—more than 20,000. The original post is located here: http://www.iwillteachyoutoberich.com/blog/mental-accounting-why-smart-people-make-big-money-mistakes Please Rate & Review the Show! Visit Me Online at OLDPodcast.com and Join the Ol' Family to get your Free Gifts Learn more about your ad choices. Visit megaphone.fm/adchoices

Guest author Claire on I Will Teach You to be Rich shares takeaways form the book "Why Smart People Make Big Money Mistakes." Episode 319: Mental Accounting: Why Smart People Make Big Money Mistakes by Claire with IWT (Investing Mistakes). Instead of saying “no” to spending on everything, Ramit wants to use money to say YES. He knew there was a better way to live a rich life—if we could use psychology to focus on what actually works. Not just for personal finance, but all aspects of life: money, careers, relationships, business, fitness and more. Since then, he's been testing and sharing his findings with the world via I Will Teach You To Be Rich. He's also written a New York Times bestselling book, been profiled in a 6-page Fortune article and pictured next to Warren Buffett Forbes Magazine, and have been featured by a long list of media, including the Wall Street Journal, ABC News, NPR, Fox Business, PBS, CNBC and more. He also has tons of documented success stories—more than 20,000. The original post is located here: http://www.iwillteachyoutoberich.com/blog/mental-accounting-why-smart-people-make-big-money-mistakes Please Rate & Review the Show! Visit Me Online at OLDPodcast.com and Join the Ol' Family to get your Free Gifts --- Support this podcast: https://anchor.fm/optimal-finance-daily/support

In real life most of us usually have only one or two accounts at the bank.According to the Nobel laureates Tversky and Kahnemann the situation in our mind is quite different:They assume that we have mental accounts for all the different areas of life (vacation, education, entertainment, etc.). On the one hand these mental accounts allow us to save money for longterm goals (e.g. leave account). On the other hand mental accounting can also be exploited deliberately by marketing experts and sales people ...Keywords:Mental Accounting, Tversky, Kahnemann, willpower, self-regulation, self-control, self-discipline, Social Psychology, mind, Brain, Influence, PsychologyAuthor: Eskil Burck (Degreed Psychologist)http://www.learningpsychology.net/