What A Trader Must Know: Using Cocaine and Investing in the Financial Market Have The Same Effect to Brain

Using cocaine and investing in the financial market are two different things but perhaps not to your brain. A recent study showed that these two factors have the same effect on human's brain.

Kabir Sehgal, a researcher from Harvard, explained how using cocaine and investing in the financial market is interpreted similarly by the brain. With the use of brain imaging, researchers found out that the brain of a person who is high in cocaine and a person whose investment gave him good returns are both activated whenever they are receiving rewards or pleasure.

In other words, a cocaine addict and a trader have the same brain respond when they got a shot or win when investing in the financial market. Hence, when a person says that money is a drug, they may not be far off to the reality of it.

People who are addictively using cocaine experience one of the major effects of it - they desire for more and more cocaine because of their minds demand for more. On the other hand, people who are investing in the financial market bet on a particular stock, commodities or lottery once they are lucky enough to win, it will drive a bolder decision to invest a larger amount of money. Whereas this is risky because a trader doesn't weigh the pros and cons of the decision they made.

Jason Zweig mentioned in his book, "Your Money and Your Brain" that using cocaine and investing in the financial market have similar brain's reaction that can lead to financial losses. "Financial losses are processed in the same areas of the brain that respond to mortal danger," said Zweig.

Nonetheless, though the study may prove that there is a strong connection between using cocaine and investing in the financial market to your brain, it is still important to take responsible with your actions.To learn how hair loss and prostate drugs affect erectile dysfunction, know more here.