Sep 8, 20211 min readPain of PayingUpdated: Sep 9, 2021Economics had traditionally considered making payments to be a rational – rather than emotional – act. This assumption no longer stands. There is such a thing as the pain of paying - it refers to the negative emotions we feel when making a purchase. This happens because as humans, we are loss averse: we want to avoid losses whenever possible, and losses are perceived to be more powerful than equal gains... (Source: The Decision Lab)
Economics had traditionally considered making payments to be a rational – rather than emotional – act. This assumption no longer stands. There is such a thing as the pain of paying - it refers to the negative emotions we feel when making a purchase. This happens because as humans, we are loss averse: we want to avoid losses whenever possible, and losses are perceived to be more powerful than equal gains... (Source: The Decision Lab)
