Articles

Behavioral economics & the real-world (Video 13 Min.)

Learn about your personality

We are scared of making a wrong choice versus making a bold decision (?). We should overcome our fear of making mistakes and should take an active role in shaping our (own) future. Take control!

"Overcome your fear of making a mistake.
Take a bold stance, an active role in big life situations. Calculate the risk, and take control!"

Keywords taken from the short video:
♦ "perception of risk" / "using a nudge"/using the power of loss aversion (example: reducing car accidents)
Our greatest threat may be our biases

♦ Personal finance/Retirement planning; Do you (REALLY?) know what your risk-appetite is?
(possibility A: low risk/low return; poss. B: higher risk/higher reward)
>> we may be guilty of shallow thinking!

♦ Understand your hidden forces/understand which Biases are surrounding you.

Reminder: We tend to be risk-averse.

Once a year ask yourself: What bold choices have you made?