Have you ever wondered why we sometimes make decisions that, from a financial point of view, don’t seem to make much sense? The answer lies in what experts call behavioral economics, a specialty that helps us understand how our cognitive biases influence the way we use our money. In other words, how we spend it and why.
It is evident that human beings are not purely rational and emotions play a fundamental role in decision making. These biases can lead us to make purchasing decisions that, in the long term, may not have been so good.
