#BecauseHeLives

Prospect Theory, or ownership bias,  assumes that people don't receive happiness from having a certain amount of something, but from gaining something. It also assumes that losing something, which I had owned and become accustomed to, influences me more than a gain of equal size. Being this way hurts us. For example, suppose I make $1 more per hour than usual for a day, and the following day my pay is reduced back to normal. I might view that whole experience as hurting me more than helping me, even though I have more money because of it.

Experienced traders do not respond this way as often; by appreciating the benefits of trade, they don't get hung up on keeping what they have.

(experienced trader)

All of us can overcome the bad effects of living according to Prospect Theory. Sometimes we avoid taking beneficial risks because we worry that our reputation could be hurt. But through the Atonement of Jesus Christ we see that there are no lost causes. Our efforts to be the best we can be will be rewarded, and when we mess up, Christ is there to catch us, #BecauseHeLives.