Discover how loss aversion affects decision-making and financial behavior in this article. Learn how to overcome its effects ...

Explaining Loss Aversion to Clients While there are many ways to illustrate loss aversion, one of the most famous case studies is Nobel Prize recipient Daniel Kahneman’s coin-flip scenario [1].

The idea of loss aversion is shown in consumer behavior. Consumers are more responsive to a price increase than to decrease. For example, from July 1981 to July 1983, a 10 percent increase in the ...

This is called attribute framing, and it’s just one example of many irrational biases that humans exhibit when making economic decisions. Other examples include loss aversion (the preference for ...

The Stock Market And Loss Aversion Historically, the stock market has been positive three out of every four years (or 75% of the time). Even on a daily basis, the market is up about 55% of the ...

A study, published in the journal Risk Sciences, explores the influence of optimism bias on decision-making in cyber risk management, and introduces a novel model that integrates utility loss ...

Frankly, we are all loss averse. People are generally more afraid of losing than they are eager to gain, a phenomenon dubbed "loss aversion" by Nobel laureate Daniel Kahneman and his collaborator ...