People exploit flexibility in mental accounting to relax psychological constraints on spending. Four studies demonstrate this in the context of moral behavior. The first study replicates prior ...

Professor emeritus of economics and behavioral sciences at the University of Chicago, USA, Thaler incorporated psychologically realistic assumptions into analyses of economic decision-making and ...

This is what economists describe as mental accounting. Mental accounting, a concept introduced by Nobel Prize-winning economist Richard Thaler, refers to the cognitive bias where individuals ...