Yale economist James Choi breaks down popular financial advice: Planet Money: NPR

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“Start saving for retirement when you are young.” “The stock market is a sure-fire long-term investment.” “Fixed-rate mortgages are better than adjustable-rate mortgages.” Popular financial advice like this appears in books written by influential financial thinkers. But how does it compare to more traditional economic thinking?

An economist has examined popular money management tips. Some of them may be misleading

This is what Yale economist James Choi wrote in an article titled Popular personal finance advice vs. advice from professorsIn this interview, he tells Greg Rosalsky what he found. Their conversation marks another installment of Behind the Newsletter, in which Greg shares conversations with policymakers and economists that appear in the Planet Money newsletter.

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