So you're broke but need a new computer, and go spend $2000 on a macbook. On the same day, you figure you've spent a lot of money, so you decide to splurge by spending another $100 dollars at a restaurant. Or, you're buying a new car, and you really don't care about the sunroof, but the car costs $20k and the sunroof is just an extra $1500. Or you're buying a house and the asking price is $400k, and you think $390k is a fairer price, but because it's much less than a 1% difference, you decide not to bother negotiating.
Does academics have a name for this behavior? I think I've lost a lot of money this way, and it's just not the right way of thinking: that $10k you could have saved on the house is worth the same as $10000 you go and blow at the casino. Anybody else have experiences or insight with this?
Submitted April 10, 2018 at 03:29AM by darnrabbit12234 https://ift.tt/2uZngXD
