Denomination effect — The tendency to spend more money when it is denominated in small amounts (e.g., coins) rather than large amounts (e.g., bills).
114 Decision-making and behavioral biases
Often we are faced with situations where our intuition misguides us. Cognitive biases are systematic patterns of deviation from norm or rationality in judgment. Many of these biases affect belief formation, business and economic decisions, and human behavior in general.