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Psychological Factors affecting Economic Decision Making:An Understanding of Emotional and Motivational Factors in Lay Terms
Decision making is no longer thought to be the cold and calculating process many had thought it to be. Instead it is the subject of multi-disciplinary discussion. Sociologists, economists and psychologists have all joined in to decode all factors. This is an important and multi-faceted topic. It could lead to a greater understanding of why individuals do what they do and how it can be predicted. This research paper aims to briefly summarise the internal psychological factors involved in economic decision making. After careful study of previous studies, conclusions have been reached, suggestions have been made and interpretations of other factors have also been provided. The conclusion arrived at is promising. While the entire problem of just how decision making will differ depending on internal factors is not completely solved, it is believed that the different pieces of the answers of a highly lengthy are available after all in varying degrees of depth.
Behavioural Economics, Decision-making, Affect, Motivation, Consumer Behaviour.
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