Do you ever fall for the number fallacy? That is the belief that $7.99 is much less than $8.00 or that $3,999 is much cheaper than $4,000.
A different version of confusion happens when we use foreign currency.
This year I have been shopping more than usual in the Danish supermarkets. The exchange rate is around 7DKK for 1USD.
If your DKK had the same purchasing power as your USD it means that the total at the cash register is 7 times bigger than what you would pay back in the US. I know it is just a number, but it hurts all the same. I should know better than to be fooled.
It is a little scary that our brains play this kind of trick on us, perhaps keeping us from making the best decisions:
On my last trip to the supermarket, I saw some beautiful artichokes. But 20 money for an artichoke? No way!
The little converter didn't kick in right away to tell me that compared to the price at home, this was actually not a bad price. Alas, we didn't get artichokes because I was a bit slow.
The really scary thing is, however, that one hour's drive from Watsonville, CA, the artichoke center of America with field after field of artichoke plants, the price is higher than in Denmark where the artichokes have to travel 1,000 miles from Bretagne, France.
Happy Halloween. Shop if you dare.