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Why Does Foreign Money Seem Like Play Money?
Psychology / Psychiatry Just in time for summer vacation season, an important new study from the June issue of the Journal of Consumer Research examines why spending patterns abroad deviate so much from what we spend at home.Klaus Wertenbroch (INSEAD, France), Dilip Soman (University of Toronto), and Amitava Chattopadhyay (INSEAD, Singapore) argue that problems arise from a fundamental mistake in how people perceive the value of currency, known as money illusion. [click link for full article]
