Why Smart People Make Big Money Mistakes and How to Correct Them: Lessons from the New Science of Behavioral Economics - Hardcover

Belsky, Gary; Gilovich, Thomas

Hardcover

ISBN 10: 0684844931 ISBN 13: 9780684844930

Publisher: Simon & Schuster, 1999

Synopsis

Why do so many otherwise sensible people make foolish financial choices? Why do so many investors sell great stocks just before they skyrocket or cling tenaciously to lousy ones until they plummet? Why do some Americans overpay when they buy a house while others reap too little when they sell their home? And why are many shoppers willing to spend more for a product bought on credit than with cash? Indeed, whether in the stock market, the real estate market, or the supermarket, most of us keep making financial faux pas that cost us thousands of dollars every year.

Fortunately, many of the most common and costly money blunders we make can be explained -- and corrected -- by the new science of "behavioral economics." Gary Belsky, an award-winning journalist, and Thomas Gilovich, one of the leading experts in this burgeoning new area of research, reveal why people spend, invest, save, borrow, and, most important, waste money. They provide fascinating insights into all manner of occurrences -- tipping, gambling, plane crashes, lotteries, and game shows, to name just a few -- to explain behavioral economics in a way that is as entertaining as it is informative. Best of all, they offer dozens of useful tips that will help us overcome the blind spots that cloud our financial judgment and will allow us to enjoy greater financial freedom.

About this title

About the Author

Gary Belsky is a graduate of the University of Missouri in his native St. Louis. From 1991 through 1998, he was a writer at Money magazine, where he was awarded the Gerald Loeb Award for Distinguished Business and Financial Reporting. From 1994 through 1998, he was a regular weekly commentator on CNN's Your Money personal finance show and a frequent contributor to ABC's Good Morning America. Belsky is currently a senior editor at ESPN: The Magazine. He lives in New York City.

Edition details

• Publisher: Simon & Schuster
• Publication date: 1999
• ISBN 10: 0684844931
• ISBN 13: 9780684844930
• Binding: Hardcover
• Language: English
• Number of pages: 220