Behavior and Decision Making

[ElberHaps]

Excellent article concerning decision making and behavior in business or every day life. I follow several boards and forums and see this stuff everyday including the real world...I'm sure we all can benefit to some extent from at least understanding the problems.

[envempons]

Awesome stuff! Why have I not been reading more about behaviorial finance?
I had the thought a little while ago about the chemical aspects of emotion in trading. I'm gonna make my weekly watch-list tomorrow, if I get a few minutes after I'll see if I can't put something together.

[Ethiffnah]

So true. Trading sounds so easy in theory, but when push-comes-to-shove almost everthing you read or thought has almost nothing to do with actually trading.

[erwubulex]

Taken in context with the rest of the article, this paragraph on mental accounting comes across to me as if they're saying the separation of monies is a problem. I see separation of monies as a great idea, cause in my life it means peace of mind. I have 6 accounts I make regular deposits into, and each one is for something different. For example, my deposit of $50 each week into an Auto Expense account ensures that if my van drops it's transmission tomorrow, I can easily pay for the repair without panicking, scrambling, or having to borrow.