Tag Archives: money

The Science Of Why You Should Spend Your Money On Experiences, Not Things | Co.Exist

3043858-inline-i-1-the-science-of-why-you-should-spend-your-money-on-experiences-not-thingMost people are in the pursuit of happiness. There are economists who think happiness is the best indicator of the health of a society. We know that money can make you happier, though after your basic needs are met, it doesn’t make you that much happier. But one of the biggest questions is how to allocate our money, which is (for most of us) a limited resource.

There’s a very logical assumption that most people make when spending their money: that because a physical object will last longer, it will make us happier for a longer time than a one-off experience like a concert or vacation. According to recent research, it turns out that assumption is completely wrong.

“One of the enemies of happiness is adaptation,” says Dr. Thomas Gilovich, a psychology professor at Cornell University who has been studying the question of money and happiness for over two decades. “We buy things to make us happy, and we succeed. But only for a while. New things are exciting to us at first, but then we adapt to them.”

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Most 20-Somethings Can’t Answer These 3 Financial Questions. Can You? |Time Money

A new study finds that young Americans could use some help when it comes to managing their money.

Just in time for financial literacy month, a new San Diego State University study of young Americans has found that they are lacking when it comes to financial knowledge and behavior.

Out of these three questions measuring basic financial knowledge, the average respondent could answer only 1.8 correctly—and only a quarter got all three right. (Answers are at the bottom of this story.)

(1) Do you think that the following statement is true or false? Buying a single company stock usually provides a safer return than a stock mutual fund.

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Weekly Economic Update | LAEDC

This Week’s Headlines:

Weekly Business Update | LAEDC

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THIS WEEK’S HEADLINES:

10 Things I Wish I Knew About Money At 18 | AskMen

Newly Minted MoneyI’ve been there. Four different credit card bills came in the mail each month: Visa, American Express, Best Buy (because they gave me a 10% discount when I bought 3 CDs), and Sears. Their balances only added up to a couple of thousand dollars each, and making the minimum payment wasn’t so bad. Then the transmission blew in my car and I had no emergency fund to pay for it.

So I put that on the credit card. I was lazy so I would routinely pay late and then get dinged with a $35 late fee. Then the card companies would jack up my interest rate. Somewhere the invisible elves that kept track of my credit score were shaking the heads and “tsk-tsk-ing” as my chances of ever getting a mortgage in the future were plummeting. Soon I was paying more each month on interest, late fees, annual charges, and ATM cash advance fees than I was for my rent.

So just like the former high-school quarterback who looks down and notices that his belly fat is obscuring the nether half of his torso, I knew it was time to do something. It was time to get back in shape.

“If only I knew then,” I sometimes think. If only I knew the following 10 things about money when I was 18, I could have avoided that whole mess.

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Weekly Economic Update | LADEC

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THIS WEEK’S HEADLINES:

Can Thinking About Time Make You A Better Person? | Fast Company

clockImagine: Briefcases full of cash. Scrooge McDuck diving into his swimming pool vault of gold coins. Winning $100 at a blackjack table. Feeling a little dishonest yet?

Just thinking about getting our grubby little hands on some cold hard cash can make us more likely to cheat, according to a new study in Psychological Science. Oddly enough, thinking about time seems to make people more honest.

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