Behavioral economics helps investors understand irrational market behaviors and customer choices. Examples of behavioral economic theories include loss aversion and sunk-cost fallacy. Recognizing ...

There are certain habits that rational people find come to second nature, but not everyone is wired that way. Irrational people aren't naturally in tune with their emotions, so many behaviors others ...

Hundreds of years ago, two English philosophers wrote about their views on human nature. In Leviathan, Thomas Hobbes set forth the argument that when “men live without other security than what their ...