Behavioral economist Richard Thaler, Nobel Prize winner, explains how behavioral economics can be applied to meme stock movements. Thaler advises traders to stop trading and not try to beat the market. He warns against the illusion of inside information among retail investors and suggests a diversified index fund approach. Imas highlights the risk of following social media hype and encourages rational investing strategies. Thaler emphasizes the importance of cutting losses and viewing risky investments as entertainment, not wealth-building opportunities. The duo discusses these concepts in their book, “The Winner’s Curse: Behavioral Economics Anomalies Then and Now.”

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