Highlights – March 2012

Will borrowing money to buy a new car make you feel richer?  It depends on your net worth, says a new study in Psychological Science, a journal published by the Association for Psychological Science. According to Princeton psychology graduate student Abigail B. Sussman, who co-authored the study, “People’s perceptions of wealth vary not only as a function of their net worth, but also of the amount of assets and debt they have.” In fact, increasing your assets by taking on debt affects perceived wealth in opposite ways for people who are in the red or in the black. The participants .....