Shows / Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
What really drives the way people spend, save, and invest? Behavioral economics challenges the textbook assumption of the rational actor by revealing the systematic biases and mental shortcuts that shape every financial decision. In this show, Lucas and Luna sit down at the research library to dissect the experimental evidence, from Kahneman and Tversky's prospect theory to Thaler's nudge framework, and test those findings against real-world pricing, marketing, and policy design. They walk…
Episodes
Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really SpendHow The Decoy Effect Warps Your Spending Habits
We dissect the decoy effect, a pricing strategy that makes one option look irresistible by design. Using real-world examples from movie theaters and software…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Regret Shapes Your Money Decisions
Lucas and Luna explore how the anticipation of future regret warps present-day financial behavior, moving beyond simple loss aversion to examine the emotional…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Loss Aversion Distorts Your Spending Habits
We often think of loss aversion as a stock market phenomenon, but it quietly dictates how we spend on everyday items. This episode explores the 'endowment…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Loss Aversion Drives Your Financial Decisions
Lucas and Luna explore why losing ten thousand dollars feels twice as painful as gaining it, a quirk called loss aversion that shapes everything from…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Endowment Effect In Your Investment Portfolio
Lucas and Luna explore how the endowment effect makes investors hold onto losing positions far longer than rational models suggest. Using a specific case of a…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Paradox of Price-Quality Heuristics
In Episode 231, Lucas and Luna dissect the 'price-quality heuristic' — the mental shortcut where consumers assume higher prices signal superior…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Mental Accounting Shapes Your Financial Reality
We explore mental accounting, the cognitive bias where people treat money differently based on its source or intended use. Using the example of tax refund…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Satisficing Strategy in Financial Decisions
Lucas and Luna explore satisficing, the behavioral economics concept where good enough beats optimal. Using Daniel Kahneman’s insights and a specific case of…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Default Options Control Your Money
Most people think they are making active choices about their finances, but behavioral economists have found that the default option is often the true…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Availability Cascade Warps Financial Markets
We explore how the availability cascade creates self-reinforcing cycles of belief in finance, using the 2008 housing crisis and recent retail trading frenzies…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Scarcity Mindset and Financial Stress
This episode examines the psychological toll of financial scarcity, drawing on Sendhil Mullainathan’s research to explain how a lack of money reduces cognitive…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Your Brain Tricks You Into Buying Things
We dissect the specific mechanics of 'nudge theory' and how choice architecture subtly manipulates daily spending. Lucas explores the landmark study…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Sunk Cost Fallacy Traps Business Decisions
We dissect why companies like Kodak and Blockbuster doubled down on failing strategies rather than cutting losses. This episode explores the psychology behind…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Paradox of Free Shipping
We dissect why consumers willingly pay more for products just to unlock free shipping, a phenomenon that defies basic economic logic. Using data from the…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Sunk Cost Fallacy In Business Strategy
Lucas and Luna explore how the sunk cost fallacy distorts business decisions, from Hollywood blockbusters to software development. Using the concrete example…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Choice Architecture Shapes Your Money
We explore how the design of choices, not just the choices themselves, drives financial outcomes. Lucas and Luna examine the 'auto-enrollment'…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Hidden Cost of Your Default Choices
Most people believe they make conscious financial choices, but behavioral economists know the truth is more subtle. In this episode, we explore the concept of…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The IKEA Effect Hides Your True Costs
We explore the IKEA effect, where people overvalue things they helped create. Using a specific case of DIY home renovation costs versus professional services…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Paradox of Choice in Financial Decisions
In this episode of Behavioral Economics with Fexingo, we explore why having more options often leads to worse financial outcomes. Lucas and Luna dive into the…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Somatic Marker Hypothesis Shapes Financial Choices
Lucas and Luna explore the Somatic Marker Hypothesis, a concept from neuroscientist Antonio Damasio, to understand how bodily sensations guide financial…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Endowment Effect Traps Your Retirement Savings
Lucas and Luna explore the endowment effect, a cognitive bias where ownership inflates perceived value. Using the specific case of defined contribution plans…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Decoy Effect Shapes Your Financial Choices
We examine the decoy effect, a subtle manipulation where adding an inferior option changes your preference between two others. Using real-world examples from…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Decoy Effect Distorts Your Investment Judgments
We explore how the decoy effect, a staple of consumer marketing, quietly infiltrates investment portfolios. Using the classic three-option pricing model from…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Decoy Effect And Smart Shopping
Why does the middle option on a menu always seem like the best deal? In this episode of Behavioral Economics, Lucas and Luna unpack the decoy effect, a…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Zero Price Effect And Free Goods
We explore the zero price effect, a behavioral quirk where consumers irrationally overvalue free items to the point of making poor financial choices. Using Dan…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Status Anxiety Drives Your Spending Habits
We explore the hidden engine of modern consumer behavior: status anxiety. While previous episodes covered mental accounting and the zero-price effect, today we…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Loss Aversion Skews Your Long Term Wealth
We dissect the psychological mechanics of loss aversion, exploring why the pain of losing fifty dollars feels twice as intense as the joy of gaining it. Using…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Framing Effect Shapes Your Financial Decisions
We examine the framing effect, a cognitive bias where people react differently to a particular choice depending on how it is presented. Using the classic Asian…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Mental Accounting Distorts Your Spending
We explore the 'if it was worth it' heuristic in daily financial decisions. Lucas and Luna examine how people rationalize purchases based on sunk…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Halo Effect Skews Your Investment Judgments
We explore how the halo effect distorts financial decision-making, using the dramatic rise and fall of Theranos as a case study in why charisma overrides data…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Endowment Effect Distorts Your Investment Portfolios
We explore the endowment effect in behavioral economics, using a specific case from a major retail bank that mispriced its own stock due to internal bias. This…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Power of Zero in Consumer Pricing
We explore the zero price effect, where removing a cost creates irrational demand spikes that defy basic economic logic. Using Dan Ariely’s chocolate…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Mental Accounting Trap In Your Wallet
Lucas and Luna explore how mental accounting causes people to treat money differently depending on its source. Using the classic casino chips example and…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Power of Regret in Financial Decisions
We explore how the anticipation of future regret shapes today's financial choices, using a specific case study from the 2008 housing crisis and recent…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Scarcity Triggers Your Spending Spree
We examine the psychology of scarcity, focusing on how limited-time offers and artificial inventory constraints manipulate consumer behavior. Using the example…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Sunk Cost Fallacy in Your Investment Portfolio
Why do we hold onto losing stocks longer than logic allows? Lucas and Luna explore the psychological trap of sunk cost fallacy in personal investing. They…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Invisible Tax of Your Daily Decisions
We explore the friction cost in behavioral economics, using the specific case of airport parking and grocery store layout to show how small inconveniences…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Choice Architecture Shapes Your Financial Life
We explore how choice architecture, the subtle design of options presented to us, quietly dictates our spending and saving habits. Using the case of…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Endowment Effect Distorts Investment Portfolios
We dive into the psychological trap of holding onto losing assets simply because we own them. Using the classic Thaler and Kahneman experiments alongside…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Nostalgia Drives Modern Consumer Spending
We explore the 'retro-tech' boom, looking at why brands like Apple and Sony are monetizing nostalgia rather than just innovation. With a focus on the…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Savoring Effect In Your Daily Spending
We explore the behavioral economics concept of savoring and why delaying gratification often increases long-term happiness more than immediate consumption…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Paradox of Choice in Consumer Spending
We explore how an explosion of options actually paralyzes decision-making, using the specific case of Barry Schwartz's work and modern subscription…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Your Brain Rewires Spending Habits
We explore the psychology of habit loops in consumer behavior, focusing on how environmental cues trigger automatic spending rather than conscious…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Time Pressure Alters Your Financial Decisions
We explore the psychological mechanics of time pressure in financial decision-making, focusing on how scarcity of time leads to poorer long-term outcomes…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Social Proof Drives Your Spending Decisions
We explore the mechanics of social proof, using the viral rise of Liquid Death water and the strategic silence of luxury brands like Rolex to understand how we…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Zero Price Effect and Why Free Makes Us Blind
We examine the zero price effect, a behavioral quirk where the removal of cost triggers irrational enthusiasm. Using Daniel Ariely’s chocolate experiment and…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Default Options Control Your Financial Choices
We explore the profound power of default options in behavioral economics, using the landmark study on organ donation rates across European countries as our…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Decoy Effect In Your Daily Spending
Lucas and Luna unpack how the decoy effect quietly shapes your purchasing decisions, from streaming subscriptions to coffee sizes. Using specific examples like…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Decoy Effect Shapes Your Subscription Choices
We break down the decoy effect and how companies like Apple use it to steer your spending. Lucas and Luna explore why adding a middle-tier option makes the…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Sunk Cost Trap in Your Career Choices
We explore why people stay in dead-end jobs or finish degrees they hate, driven by the sunk cost fallacy. Using a concrete example of a lawyer leaving law…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Illusion of Control in Personal Finance
We explore how the illusion of control leads investors to overtrade and misprice risk. Using data from Barber and Odean on individual investor behavior, we…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How The Decoy Effect Shapes Your Subscription Choices
We explore the decoy effect, a cognitive bias where adding a third, less attractive option changes how you value two existing ones. Using the classic popcorn…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Framing Effect Behind Your Grocery Bills
We dissect the framing effect, showing how changing the presentation of information alters decisions without changing the facts. Using the classic fruit fly…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Mental Accounting Shapes Your Spending Habits
Lucas and Luna dive into Richard Thaler’s concept of mental accounting, exploring why we treat money differently depending on its source. From tax refund…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Endowment Effect in Your Digital Wallet
We explore how the endowment effect distorts digital spending, using a specific case of a premium streaming subscription that users refuse to cancel despite…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Loss Aversion Shapes Your Financial Choices
Why do we cling to losing investments or keep subscriptions we never use? In this episode, Lucas and Luna explore loss aversion, the behavioral economics…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Decoy Effect In Your Daily Spending
We examine how the decoy effect shapes everything from your morning coffee to enterprise software contracts. Using a specific case study of a major streaming…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Scent of Sales How Smells Manipulate Spending
We explore the hidden power of environmental cues in retail, focusing on the famous pumpkin spice phenomenon and how ambient scents drive impulse purchases…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
How Scarcity Drives Real Spending Decisions
Lucas and Luna examine the scarcity heuristic through the lens of limited-edition drops and dynamic pricing. They explore why perceived unavailability triggers…
- Behavioral Economics with Fexingo: Decision Making, Bias, and How People Really Spend
The Sunk Cost Trap in Your Daily Life
We explore the sunk cost fallacy through three distinct lenses: a $2,000 treadmill gathering dust, a failing startup’s refusal to pivot, and the emotional toll…