Topics

Mental accounting

A common phenomenon in which people treat money differently depending on its source and its intended/planned use. For example, people often treat spending on credit cards as different to spending cash, or refuse to buy themselves a new gadget only to be delighted to be bought the same gadget by their spouse who used money from their joint account.

© 2002-2023 Tutor2u Limited. Company Reg no: 04489574. VAT reg no 816865400.