Clue Quote by Dan Ariely
“Who would you trust right now? Which bank would you trust? Which investment would you trust? Do you really want to put your money; do you want to suffer more of these losses that we just had? You know, these volatility that we see is just unexplainable by any rational standards. Nobody has any clue about how to explain this, and nobody wants to experience that. So, we hold more money back, we don't necessarily want to invest in the market and by default, people are saving more.”
About This Quote
Source Speech: Behavioral Economics Talk, Dan Ariely, 2018
People distrust financial institutions during volatility, leading to increased saving and reduced investment despite potential gains.
In simple terms: Volatility reduces trust, causing more saving.
Key Takeaway
Build confidence through transparent communication.
Themes
trust
risk perception
financial behavior
Mood
analytical
concerned
Type
practical
motivational
When to use this quote
- personal investing
- retirement planning
- market analysis
- policy making
Key Concepts
behavioral economics
psychology
finance
Questions to Reflect On
- What evidence restores trust in markets?
- How can institutions improve transparency?
A Different Perspective
Over‑caution can hinder wealth growth.
![“[..] we human beings are ready and willing to steal something that does not explicitly reference monetary value - that is, something that lacks the face of a dead president.” quote by Dan Ariely](https://sms4smile.com/quotes/img-quotes/a1f/dan-ariely-1899_funny_we-human-beings-are-ready-and-willing-to_4436.jpg)
