About the relationship of a person with one of the main components of his life today - money - there are many opinions and points of view. Of course, first of all, this concerns financial literacy, because it is it that makes people not just spenders, mindlessly spending their hard earned money, but those who are guided in monetary matters by certain principles that allow you to always have the means necessary for a normal life, as well as savings and even different sources of income... But if financial literacy pursues to a greater extent educational goals and forms a certain type of thinking, then the question of a person's attitude to money does not always fit into its framework, since requires much more serious intervention and study. Simply put, in addition to financial literacy, there is also a psychology of money.
It has been experimentally confirmed that the behavior of people in cases where they operate with money can be easily predicted. But, of course, there are situations when their behavior goes against the generally accepted provisions of theories of economics.
Despite the fact that the question of the relationship between man and money has always been considered, as a rule, the prerogative of the cultural sciences, modern scientists say that the biological mechanisms of the brain play a large role in these relations. For example, recent research has shown that processes in the brain are largely identical to those in economic systems. According to the researchers, studying the psychology of money can make a person's life better and even happier.
The researchers pointed out that the relatively recent appearance of money could not affect the functioning of the human brain, which means that money should be studied by those sciences, the subject of which is culture. Critics supported this by the fact that the brain does not need to have a department that deals with monetary concepts, and the psychology of money can be attributed to a special case of "game psychology", where the main place is occupied by game theory, which deals with resources and resource extraction strategies. Here money is an example of resources.
Economics, which studies money, has long been built on mathematics. But with the development of economic psychology, experimental economics, and behavioral economics, this state of affairs began to change. Subsequently, the psychology of money appeared from here, and a number of special psychological effects were even identified, which are manifested in the process of a person's interaction with money.
According to a study published in 2006, any mention of money or its use as part of a psychological experiment has a profound effect on people's behavior and goals. And when it comes to making decisions, people tend to be guided solely by their own personal opinion.
Simultaneously with the conduct of psychological research, neuroeconomic science also received an impetus for development, saying that such brain functions as decision-making and motivation are in some way similar to solving similar problems in economic systems. As an example, we can cite the fact of activation of different sections of the brain during manipulation of some factors similar to economic ones, for example, time to complete a certain task and receive financial or other material reward for it.
Very few patterns in people's relationships with money can be explained in terms of logic. In the psychology of money, these are called anomalies or paradoxes. An excellent example is the effect investigated by the American economist Richard Thaler, when a person who passionately wants to sell something, as the price of it rises, ceases to want to sell it. But this is just the tip of the iceberg. You can see this if you pay attention to your own attitude towards money and related issues.
Secondly, the way a person reacts to all sorts of factors associated with money directly affects his life. The same studies, which we briefly mentioned above, made it clear that even one thought about money affects the human brain so much that it immediately switches to its personal needs, desires and principles.
In addition, the stronger a person's attitude to financial success, the less he cares about what is happening at the moment in society in general. And people who are more serious about money and are focused on material values, as a rule, are much less likely to be happy people. Studying these and similar issues, the researchers say, can help increase people's "happiness".
We do not know how you feel about money. But one thing we can say with certainty: money is not all that "rules the world", as many now express themselves. Money is just a part of a person's life, and a part is often not the most important one. Strive to be richer spiritually and morally - this is what real wealth is based on. And, of course, read Robert Kiyosaki to treat money correctly.
I wish you success and prosperity!
(c) 4brain.ru
The psychology of money
The psychology of money is one of the areas of psychological science that studies the attitude of people to money and people around them in terms of financial interaction, and the influence of monetary factors on the characteristics of a human personality, for example, on his behavior or decision-making process. The psychology of money is closely related to such sciences as economics and neuroeconomics.It has been experimentally confirmed that the behavior of people in cases where they operate with money can be easily predicted. But, of course, there are situations when their behavior goes against the generally accepted provisions of theories of economics.
Despite the fact that the question of the relationship between man and money has always been considered, as a rule, the prerogative of the cultural sciences, modern scientists say that the biological mechanisms of the brain play a large role in these relations. For example, recent research has shown that processes in the brain are largely identical to those in economic systems. According to the researchers, studying the psychology of money can make a person's life better and even happier.
Psychological and economic aspects of money
Despite the fact that money is of great importance in people's lives, the nuances of a psychological plan associated with it have been studied very little even in the 20th century. Scientists of the last century were mainly focused on the sociological intricacies of money, and those who were engaged in neurosciences and experimental psychology, practically did not devote time to this problem, because it was believed that the brain lacks departments whose work would be associated with the processing of information related to money.The researchers pointed out that the relatively recent appearance of money could not affect the functioning of the human brain, which means that money should be studied by those sciences, the subject of which is culture. Critics supported this by the fact that the brain does not need to have a department that deals with monetary concepts, and the psychology of money can be attributed to a special case of "game psychology", where the main place is occupied by game theory, which deals with resources and resource extraction strategies. Here money is an example of resources.
Economics, which studies money, has long been built on mathematics. But with the development of economic psychology, experimental economics, and behavioral economics, this state of affairs began to change. Subsequently, the psychology of money appeared from here, and a number of special psychological effects were even identified, which are manifested in the process of a person's interaction with money.
Psychological effects associated with money
In total, many behavioral patterns were identified, but the following were and continue to be considered the most predictable:- Monetary taboo - cultural restrictions on monetary exchange, even if the exchange may be beneficial
- Monetary conservatism - the reluctance of any monetary reforms, even if these reforms are potentially useful
- Money illusion - a tendency to perceive nominal rather than real amount of money
- The illusion of materiality of money - the attitude towards money as a material value, and, as a result, the attitude towards the need for money as a material need
- The silencing effect is the belief that “they don’t talk about money,” which significantly complicates the study of people's attitudes toward money. Many people consider the topic of money indecent and should be hidden.
- Monetary profanation - the use of money as a means of payment for labor, as well as their use in many types of human relationships, which indicates their quantitative assessment, making them completely common
- Money tension is a phenomenon of emotional saturation, characteristic of people's attitudes towards money, as well as for relationships between people when it comes to financial issues
- The effect of different money - despite the fact that people use one concept - "money", it can mean different things: money in the literal sense, money as a function, paper and metal money, cash and non-cash money, different currencies, money on deposit, credit card or deposit
- Money exchange effect - certain amounts determine certain rules for handling money: large bills are kept away, small change is easily spent, etc.
- Individual economic behavior - various monetary behavior, as well as its motivation and forms at the micro, meso and macro levels
- Borrowing effect - borrowing money is often morally condemned, and borrowing in the form of gratuitous material support is encouraged
- The predominant value of money - in comparison with goods of a certain value, money of the same value is considered a more valuable resource
- The effect of monetary arithmetic - various norms and rules typical for logical mathematical operations with money, such as division, subtraction, addition, and the same operations with abstract numbers
According to a study published in 2006, any mention of money or its use as part of a psychological experiment has a profound effect on people's behavior and goals. And when it comes to making decisions, people tend to be guided solely by their own personal opinion.
Simultaneously with the conduct of psychological research, neuroeconomic science also received an impetus for development, saying that such brain functions as decision-making and motivation are in some way similar to solving similar problems in economic systems. As an example, we can cite the fact of activation of different sections of the brain during manipulation of some factors similar to economic ones, for example, time to complete a certain task and receive financial or other material reward for it.
Very few patterns in people's relationships with money can be explained in terms of logic. In the psychology of money, these are called anomalies or paradoxes. An excellent example is the effect investigated by the American economist Richard Thaler, when a person who passionately wants to sell something, as the price of it rises, ceases to want to sell it. But this is just the tip of the iceberg. You can see this if you pay attention to your own attitude towards money and related issues.
What's next?
A 2006 article in Science highlights the importance of studying the psychology of money for two important reasons. First, money is one of the most important values for a person who lives in today's society with its own economic laws. Therefore, it is important to study the influence of money on any area of human activity.Secondly, the way a person reacts to all sorts of factors associated with money directly affects his life. The same studies, which we briefly mentioned above, made it clear that even one thought about money affects the human brain so much that it immediately switches to its personal needs, desires and principles.
In addition, the stronger a person's attitude to financial success, the less he cares about what is happening at the moment in society in general. And people who are more serious about money and are focused on material values, as a rule, are much less likely to be happy people. Studying these and similar issues, the researchers say, can help increase people's "happiness".
We do not know how you feel about money. But one thing we can say with certainty: money is not all that "rules the world", as many now express themselves. Money is just a part of a person's life, and a part is often not the most important one. Strive to be richer spiritually and morally - this is what real wealth is based on. And, of course, read Robert Kiyosaki to treat money correctly.
I wish you success and prosperity!
(c) 4brain.ru
