Inflation Brain: Why You Seesaw Between Splurging and Penny-Pinching

Inflation – more than 8 in 10 Americans are stressed out about it. That’s caused a wave of cost-cutting on basic necessities. But penny-pinching is also stressful. The result? Splurging on luxury items and spending big on vacations at the same time.

I explain the psychology of self-control and indulgence that’s driving this so-called “revenge inflation spending” – and what you can do about it.

0:00 Inflation has Americans worried
1:00 Self-control vs. instant gratification
1:35 Does self-control make rewards seem more rewarding?
2:45 How stress affects our reward brain regions
4:10 How we can reframe financial discipline

I’m Daniela Hernandez, a health and science reporter for WSJ, and on this channel I’ll be covering a variety of subjects from neuroscience to the science of food and public health. If you’re interested in science and health and how cutting edge research impacts our lives, don’t forget to subscribe.

#Inflation #Psychology #DanielaHernandez