Friday, September 27, 2024

The Flypaper Effect

The Fed Made Its Move. Why Didn’t I?
Although I’ve written many times that inertia is the most powerful force in the financial universe, I too had gotten stuck in what economists call “the flypaper effect”: wherever money lands, it sticks. Once we choose to open an account in a particular fund, we tend to leave it there, even if we know there’s a better place for it.