Published by : FCA (Financial Conduct Authority)
This paper has two parts:
In Part I we summarise the main lessons from behavioural economics for retail financial markets: how consumers make predictable mistakes when choosing and using financial products; how firms respond to these mistakes, and how behavioural biases can lead firms to compete in ways that are not in the interests of consumers.
In Part II we describe how behavioural economics can, and should, be used in the regulation of financial conduct.
Published:14 February 2014
Business Area: Risk
Type: Portable Document Format (.pdf)
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