As the only podcast dedicated to open banking, our podcast strives to be one of the key voices in the global open banking community. The goal of the show is to educate people on how the world of finance is being shaken up by open banking, ultimately giving them more ways to save their money, move money around and improve their financial well-being. To those building open banking, we bring the unique perspectives of technology innovators, financial leaders and key influencers, as we aim to accelerate its continued evolution.
Making Better Decisions
Underlying open banking is an important assumption: That if you give the consumer all the information about what data is held on them and all the control over how that data is shared, that they will be better off. That they will use that information and control to make better decisions, decisions that benefit them. But is that actually so? Behavioral economics says that perhaps the answer is no.
Rising to prominence in the late nineties and two-thousands, behavioural economics challenges the idea that people always behave rationally. For those building open banking environments aimed at truly helping consumers make better decisions about their money and their data, its lessons are invaluable. In this episode, Eyal sits down with renowned behavioural economist Dan Ariely, a professor, scientist and best-selling author, to discuss the roots of behavioral economics, the role of paternalism, and how friction and motivation can be applied to building better financial services.
Specifically they discuss:
- Understanding behavioural economics
- Visible money vs. invisible money
- Using friction and motivation
- Paternalism and responsibility
- Building environments that benefit us