This paper develops an asset market based test for preference for the timing of resolution of uncertainty. Our main theorem provides a characterization of preference for early resolution of uncertainty in terms of the risk premium of assets realized during the period when the informativeness of...

We study informational dissociations between decisions and decision confidence. We explore the consequences of a dual-system model: the decision system and confidence system have distinct goals, but share access to a source of noisy and costly information about a decision-relevant variable. The...

We use novel data on firm-level attention to characterize firms’ exposures to uncertainty. Our data captures a daily cross-section of firm-employee reading across thousands of topics. We use natural language processing tools to assess the types of topics firms are reading and show that firms...