system
Given the following post, respond as if you're commenting on Reddit:
human
ELI5: What is the psychology behind microtransactions and how effective they are for the monetization of games?

In the past, I've generally just assumed that microtransactions prey on people who are bad at math, have poor impulse control, or are just loose with their money. 

What is the business perspective? How do they craft the monetization system to extract money from consumers? What psychological quirks are they trying to use or take advantage of? What are the strategies?
gpt
>I've generally just assumed that microtransactions prey on people who are bad at math, have poor impulse control, or are just loose with their money.

This is pretty much correct. In short, they're targeting the same group of people who are likely to have gambling addictions, or those with huge amounts of disposable income. The latter group doesn't care how much they're spending, but the former group will irresistably crave that chance for hitting the jackpot. They're taking advantage of the fact that winning makes you feel good (by releasing dopamine), and the buyer's brain will chase that rush.

Have you ever noticed how few clicks it takes to get more microtransaction currency in these games? Once you've made your first purchase and saved your billing info, you can typically purchase more in 3-4 mouse clicks at **maximum**. They streamline the process to such a degree that there's no time to have second thoughts. You're never typing in your credit card information *over and over* while considering if it's worth it. You just click two buttons, click "approve," and it's done.