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Nudging as a Tool to Improve Decisions in Finance and Accounting Solutions

  • 2024
  • OriginalPaper
  • Chapter
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Abstract

The chapter delves into the concept of nudges as tools to improve decision-making in finance and accounting. It begins by discussing decision theories, heuristics, and biases, emphasizing the limitations of rationality in decision-making processes. The main focus is on the application of nudges, which are subtle interventions designed to guide choices without limiting options. The case study presented involves a financial institution, Alpha, which uses nudges in the form of text messages to motivate and educate low-income entrepreneurs. These nudges are designed to enhance financial literacy and business management skills, with positive reception from the participants. The chapter concludes by highlighting the low cost and high potential impact of nudges in various organizational contexts.

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Title
Nudging as a Tool to Improve Decisions in Finance and Accounting Solutions
Authors
Ana Maria Roux Valentini Coelho Cesar
Cecilia Moraes Santostaso Geron
Tatiana Gama Ricci
Copyright Year
2024
Publisher
Springer Nature Singapore
DOI
https://doi.org/10.1007/978-981-97-5388-8_18
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