How Does the Brain React to Bonuses?

Money makes people do irrational and dangerous things sometimes. Some even make horrible decisions. There is a lot that happens to a human brain when a bonus in the form of money comes into play. They include the following.

The Neural Activity Gets Heightened

When you get wind of a possible bonus, your nucleus accumbens, which is a part of the brain that is wired to reward circuitry, gets stimulated. The heightened activity in the brain resembles that of a drug addict who is high on cocaine. Money is a great way to motivate people.

Increased Risk-Taking Behaviour

With a promise of extra money, people end up making irrational decisions. When you get a bonus, you are more likely to buy riskier securities such as stocks. Anyone with elevated nucleus accumbens stimulation will definitely choose an investment that comes with increased risk.

Ties to Gut Feelings

Have you ever had a gut feeling regarding a deal or investment? This is normally a psychological thing. For example, when a player is in a casino, and there is a promise of a bonus as long as he or she reaches a certain level, the gut feeling will kick in. Such a proposal activates your dorsolateral prefrontal cortex and the grey matter that is responsible for self-awareness, solving difficult problems and reflections.

Gambling sites like poker rooms use bonuses to lure gamblers who are always looking for fresh grounds to trade on. The players, on the other hand, believe that it is their hard work that makes them get rewarded. They also perceive a bonus prospect as a motivating factor. This is why different poker sites offer various types of bonuses. They include loyalty bonuses, promotions, sign-up bonus and free money.

Whenever people get promised money as a reward for excelling in a certain task, the initial outcome is excitement. This is the case when they fail to meet the standards for getting the bonus. Even when the reward is not monetary, they still get the same effect; they become more enthusiastic about the object used as the reward.