#loss-aversion

#loss-aversion

Economists have some great tools for doing so, but Thaler got the field to appreciate that human beings, as impressive as we are in many ways, are subject to certain limitations that psychologists know a lot about. Those limitations, such as myopia, sloth and a fear of loss that exceeds the love of gains, have to be taken into account if we're going to truly understand economic decisions.

When someone has a compulsive need for love, they devote themselves entirely to their relationships. They invest time, emotional energy, effort, and sometimes their entire identity into their love lives.