Which of the following falls under the category of mind games and your money?

Question

Quizplus · Accepted Answer

All of the options listed fall under the category of mind games and your money. The sunk cost effect is a cognitive bias that leads people to continue investing time, money, or effort in a situation because of what they have already invested. Mental accounting is the tendency to treat money differently depending on how it is categorized, such as thinking of money received from a bonus as "fun money" instead of considering it as part of your overall income. Viewing your tax refund as "mad money" is an example of mental accounting, as it can lead people to spend it frivolously instead of using it for more practical purposes such as paying off debt or saving for the future.

Which of the Following Falls Under the Category of Mind