Mar 31, 2020
Question of the Day, Investing, Stocks, Behavioral Finance
Answer: More than 90%
Do you think it's hard to do nothing with your investments when the stock market has dropped over 20% in a month? Why or why not?
Your friend says "I know the market is going down in the next few weeks so I'm going to sell now and get back in when the prices go down?" Do you think it's easy to time the market and know when to sell and then buy back in?
What are strategies that you can use to calm your nerves when the market goes down like it has over the past...
Mar 29, 2020
Question of the Day, Behavioral Finance, Current Events
Hat tip to Beth Tallman for this question idea! Thank you for all of the informative articles in your weekend reading list too!
Motivated by three factors:
The possibility of banks shutting down
The convenience of having cash during emergencies
The desire to ensure access to funds
How are accountholders protected if banks fail?
Are there any other reasons you can think of that might explain this behavior?
What are the risks of holding lots of cash at...
Feb 23, 2020
Behavioral Finance, Question of the Day
Answer: $3.5 billion
Why do you think that the balances on unused gift cards is in the billions?
What strategies can a consumer use to make sure that they don't lose track of their gift cards?
Would knowing that many people don’t use gift cards affect your gift-giving habits (i.e., would you decide not to give gift cards anymore since you’d be afraid it would never be used?)
Click here for the ready-to-go slides for this Question of the Day that you can use in your...
Feb 19, 2020
Behavioral Finance, Question of the Day, Purchase Decisions
Which of the following tactics have you seen on websites?
Which of the top three "tricks" has the greatest impact on your behavior? Why?
Running out of the product..only 3 left in stock
Flash sale only available for the next hour
A celebrity you follow loves this product too...
Why do you think these tactics are so effective?
Click here for the ready-to-go slides for this Question of the Day that you can use in your classroom.
Behind the numbers...
Feb 10, 2020
Advertising, Featured Teachers, Behavioral Finance
Thanks for Renee Nelson, an NGPF Fellow teaching at KIPP NYC Prep High School in the Bronx, for submitting this guest blog post:
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It only takes thirty to ninety seconds to get someone’s attention and to convince them to make a big purchase or persuade them to try something new. Wrap your mind around that fact because it hasn't ever gotten the recognition it deserves. There’s only one category in the Primetime...
Feb 02, 2020
Behavioral Finance, Question of the Day, Investing
Thanks to Of Dollars and Data for their blog post about this behavioral tic and an explanation for how it applies to investing.
Answer: Exactly...50% [Coin flips are an independent process so the prior flips have no bearing on future flips]
Here's a short video explainer:
Why do you think that most people would expect the next coin flip to be Tails?
This phenomenon applies to other casino games, such as the Roulette Wheel (after 6 Reds in a row, the next one must be...
Jan 31, 2020
Personal Finance, Behavioral Finance, Budgeting, Paying for College, Taxes, Insurance
Happy Super Bowl Weekend!
In case you missed this week's FinCap Friday, Credit Crunch details how the FICO methodology will impact millions of consumers.
Personal Finance/Financial Literacy
This article from the NY Times “Smarter Living” section got some attention this week in social media. “Does Personal Finance Still Work in our changing Economy?” contains a great discussion of the findings of the book The Financial Diaries (Rachel Schneider and Jonathan...
Jan 28, 2020
Question of the Day, Advertising, Behavioral Finance
Answer: Low to mid-$5 million range
Here's an extended cut of an ad (2:30) that is likely to catch a lot of attention on Sunday:
What is this specific advertiser trying to accomplish in this commercial? What do you they want you to remember about their brand?
In an era with so many streaming services that have trained consumers to watch shows without any ads, why do advertisers spend so much on Super Bowl ads?
Which types of companies do you think benefit the most from their Super...
Jan 26, 2020
Question of the Day, Behavioral Finance, Purchase Decisions, Budgeting
Hat tip to Nick Maggiulli of Dollars and Data blog for highlighting this research from .
Treating yourself (on occasion)
Buying extra time
Paying upfront (i.e. all-inclusive vacations)
Spending on others
What are ways that you spend money that bring happiness to you? Do they fit into any of these five categories?
Why do you think that researchers found that "buying experiences" might create more happiness than buying "things?"...
Jan 21, 2020
Behavioral Finance, Question of the Day, Budgeting
Do you have a budget? Are you able to stick to it all of the time/some of the time/none of the time?
How would you answer this question for yourself: What are the purchases that cause you to overspend?
Take 2 or 3 items from the top 10 list and explain why that specific item leads to overspending.
Explain strategies that you could use to control spending in those categories.
Click here for the ready-to-go slides for this Question of the...
Jan 21, 2020
Purchase Decisions, Chart of the Week, Behavioral Finance
Hat tip to Erica Pavlik of Neuqua Valley High School who reached out and suggested we curate resources to help "Teach the Triangle," an instructional idea created by her principal, Lance Fuhrer. Here's how she explained this concept:
"It is like your data crunch but taken a step farther. It collects three types of data (image, article & graph) on a similar topic and ask students one question: What can you infer from this?"
We thought we would give it a go. Here are three resources...
Jan 07, 2020
Tips for Teachers, Behavioral Finance, Teaching Strategies
What lexile level is NGPF’s curriculum? We’ve been getting this question a lot lately, so we are going to break down the different lexile levels in a NGPF lesson and give you teacher tips for differentiation along the way! NGPF’s curriculum is rigorous and we strive to prepare your students for college and adulthood, so our curriculum’s lexile levels have a wide range in the hope we are reaching all learners as they begin their personal finance journey.
What is a lexile...
Jan 06, 2020
Budgeting, Behavioral Finance, Chart of the Week
This chart ties in well with today's Question of the Day which equates longer auto loan terms with higher interest costs for borrowers.
Which loan term has grown most dramatically in the last decade?
Which loan term has declined the most?
Why do you think that seven year loan terms have become so popular?
Do you think that having a long-term car loan is a wise choice? Why or why not?
Here's our question of the day about the increased cost...
Jan 05, 2020
Behavioral Finance, Question of the Day
Do you think that making New Year's resolutions are a good idea? Explain.
How would you categorize the items that typically show up on a list of popular resolutions?
Do you have any New Year's resolutions? If so, what are they? If not, why not?
What are some strategies that you can use to make resolutions stick? Have you had success with these in the past?
Here's the ready-to-go slides for this Question of the Day that you can use in your classroom.
Behind the numbers...
Jan 02, 2020
Credit Cards, Video Resource, Behavioral Finance, Payment Types
Interesting videos that you may find useful to supplement your lessons.
Video: A Brief History of Credit Cards (or, What Actually Happens When You Swipe)
Description: "What actually happens when you swipe your credit card? a16z general partner Alex Rampell helps solve the mystery, taking us from the beginning of the credit card revolution (including its hometown of Fresno, California) and on the journey of how both information and money travel… through the five parties...