Understanding Bounded Rationality in Money Decisions

Your brain is constantly tricking you into making bad money decisions. Economists call

this "bounded rationality." We think we're making smart, logical choices, but we rarely have

all the information. Instead, we just make "good enough" decisions. This is why "anchoring"

works. The first price you see for something becomes your mental reference point,

even if it's totally random. Companies also use "choice architecture" to nudge you.

They frame options and set default choices to influence what you pick, often without you

even realizing it. So, you're not a perfectly rational consumer; you're a human,

running on mental shortcuts.