fear
Reactive devaluation is the tendency of an investor to bestow greater value on a proposal or recommendation that emanates from someone that he likes. Where the same proposal comes from someone he does not like, the investor will place less
According to a recent World Bank study, poor people are more likely to make bad financial decisions because they are compromised by what is referred to as ‘financial fatigue’. Their constant, day-to-day financial struggles impact on their psychological resources and
Whether it’s dumping shares, stocking-piling toilet paper or sipping bleach, greed and fear can drive seemingly rational people to make irrational decisions, especially in times of crisis.
