Behavioral Corporate Finance provides new and testable explanations for long-standing corporate-finance puzzles in mergers, investment-cash flow sensitivity, and fads in equity financing or dividend payments. The research applies by applying insights from psychology to the behavior of investors,...

Behavioral economics aspires to replace the agents of neoclassical economics with living, breathing human beings. Here, the author argues that behavioral economics, like its neoclassical counterpart, often neglects the role of active sense-making that motivates and guides much human behavior....

Behavioral economics characterizes decision-makers using psychologically-informed models. Cognitive science produces psychologically-informed models. Why don't these disciplines talk more? Here, the author presents several arguments for why cognitive science should inform behavioral economics -...