The Myth Of The Rational Borrower
The academics behind the Credit Slips blog chew economic macrodata t to consider whether...
...rational lenders use sophisticated marketing techniques to exploit consumers' lack of information and imperfect decisionmaking processes and encourage excessive consumer borrowing.
Interesting read, especially if you like words like heuristics bias and anomalous preferences. — BEN POPKEN
The Myth Of the Rational Borrower: Part 1, Part 2 [Credit Slips via Caveat Emptor]
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Comments:
I sure wish that was a cat on the roulette table.
*sigh*
I said ANTE up.
Dammit! First Courtney Love ruins my favorite band and now she's showing up here and going to ruin everything! Shoo, go away!
Where did you get my honeymoon photos?
I'm turned on, but only if that woman's not dead.
I love the fact that the dude on the left is trying to spy up her dress.
One of the more amazing facts I learned from the PBS "Secret History of the Credit Card" is that many people with credit card balances could pay them off immediately, but choose not to.
In their panel discussion, several people said (paraphrased) "Yes, I have a balance of a few thousand dollars on my credit cards... I could pay it off with the money in my bank account, but I'd rather keep the money in my bank account in case I need it."
Made me want to bang my head on the coffee table.
I'm turned on if the woman's dead.
I didn't say that out loud did I?
She kinda looks like Debbie Harry
the Credit Slips blog
Speaking of slips...