Greg Beato writes about a new game designed by Duke University professor of psychology and behavioral economics Dan Ariely, in which he highlights the dangers of irrational economic behavior. The article begins as follows:
In his 2008 best-selling book, “Predictably Irrational,” Dan Ariely, a Duke University professor of psychology and behavioral economics, proposed the idea of a “self-control credit card.”
In theory, this card would hinder one’s ability to spend excessively by initiating warning alerts to designated overseers or shutting down completely if certain budgets were exceeded.
Mr. Ariely has yet to persuade any financial institution that reining in spendthrifts this way is a rational business proposition.
But he continues to experiment with products that might improve consumers’ decision-making. This time around, Mr. Ariely designed playing cards, not credit cards.
Read the full article from the New York Times here.
Posted by Logan Davis, Associate Editor, Wealth Strategies Journal.