In the present paper an analysis of the neo-classical optimization model with linear constraints is proposed. By introducing the dual problem it is shown that the solution to the maximization problem is also a solution to the minimization problem. The purely theoretical model proposes a...

Status quo bias is a systematic cognitive error which makes it difficult for individuals to make decisions independently of the currently dominant situation. This study pursues the question of whether bond market analysts are affected by status quo bias. We evaluated interest rate forecast...

Die von wirtschaftlichen Umbrüchen geprägten Jahre nach der Wiedervereinigung waren für viele Ostdeutsche mit zunehmender Unsicherheit verbunden, während die Veränderungen in Westdeutschland weitaus weniger gravierend waren. In der Folge kam es in den 90er Jahren zu einem massiven Rückgang...

The paper investigates the importance of probability weighting in financial decisions and examines the degree to which risk-taking behavior deviates from expected utility theory in the presence of probability weighting. A group of professional traders participates in an experiment, whose data...

Labor market policies succeed or fail at least in part depending on how well they reflect or account for behavioral responses. Insights from behavioral economics, which allow for realistic deviations from standard economic assumptions about behavior, have consequences for the design and...

This study examined the relationship between share prices and dividends, earnings and book values for companies listed on the Nairobi Securities Exchange (NSE) in Kenya for the six years period between 2005 and 2010. Using panel data analysis the study found evidence that there is a positive and...

The present research focuses on the differences that the tourists' belonging to two unlike cultural groups - i.e., low uncertainty avoidance individualists versus high uncertainty avoidance collectivists - imposes on the performance of the model explaining the generation of satisfaction and...

We introduce social capital accumulation into a neoclassical model, showing how it differs from physical and human capital accumulation. We take the view that social capital is crucial to the enjoyment of socially provided goods and that it is mainly accumulated by means of participation to...

In der Politik sind wie im Geschäftsleben oft riskante beziehungsweise gefährliche Entscheidungen zu treffen, bei denen die Ergebnisse nur schwer oder gar nicht prognostizierbar sind. Da Menschen in ihren Einstellungen gegenüber Risiken und Gefahren variieren, ist es vernünftig, dass in...

Mit den Daten des Sozio-oekonomischen Panels (SOEP) kann der statistische Zusammenhang zwischen der Neigung von Personen zu politischen Parteien sowie deren Einkommen und Vermögen untersucht werden. Dabei zeigt sich, dass Besserverdiener und Wohlhabende zur Union und zur FDP neigen, aber auch...