3 ms·

There is definitely a correlation between pain perception and buying behavior. This has been documented in a study done by Carnegie Mellon: https://www.cmu.edu

• cortesoft 7y ago
  I wonder if that will hold as people use cash less often... if you grow up only using credit cards and have no association with paper money having value, will this study no longer be true? Most adults at the time the study was done probably were still using cash for most purchases for most of their life, making that association stronger.
  • danesparza 7y ago
    An excellent question. I only have anecdotal evidence to indicate that it continues to hold up. (My family and I continue to use cash for many purchases. I'm a man in my 40's)
    • cortesoft 7y ago
      My anecdotal evidence is the opposite... I have basically used credit cards for 95% of purchases the last 5-10 years, and cash feels like 'extra' money to me now... since it doesn't show up in my tracking systems, I don't really see where it is going... I don't have to ever look at the spend again after I buy something, so it induces less guilt... I feel like I want to get rid of the cash in my wallet, because it is 'wasted' in my wallet.