Practical Life Skills
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Definition
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Practical Life Skills
Dollar-Cost Averaging
Dollar-cost averaging-investing fixed amounts at regular intervals regardless of market conditions-reduces the impact of volatility and eliminates the need to time the market.
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Decision Fatigue
Decision fatigue explains why quality of decisions deteriorates after making many decisions.
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Satisficing
Satisficing-choosing the first acceptable option rather than the optimal one-often leads to better outcomes.
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Regret Minimization
The regret minimization framework asks which choice you'll least regret when looking back years later.
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