We investigate asset returns using the concept of beta herding, which measures cross-sectional variations in betas induced by investors whose beliefs about the market are biased due to changes in confidence or sentiment. Overconfidence or optimistic sentiment causes beta herding (compression of...

Purpose - The current study aims to investigate the impacts of two behavioral biases, namely, loss aversion and overconfidence on the performance of US companies. First, the impact of loss aversion on the economic performance of companies was assessed. Second, the impact of overconfidence on...

This paper proposes nonparametric statistical procedures for analyzing discrete choice models of affective decision making. We make two contributions to the literature on behavioral economics. Namely, we propose a procedure for eliciting the existence of a Nash equilibrium in an intrapersonal,...

Of all fields of regulation in the United States, antitrust law relies most heavily on economics to inform the design and application of legal rules. When drafting antitrust statutes in the late 19th and early 20th centuries, Congress anticipated that courts and enforcement agencies would...

Draft of a contribution to Kincaid & Ross Modern Guide to Philosophy of Economics (Elgar). To talk in 2020 about the foundations of behavioural and experimental economics (BE and EE from here on), or for that matter the methodological and substantive relationships between economic and...

Behavioral theories suggest that overconfident investors overestimate the quality of their information and underestimate risk. They have a high demand for risky assets and require a lower risk premium, causing asset prices to rise and leading to overvaluation. We investigate how overconfidence...

The main objective of this study was introducing the new term “monetary behavioral”, which is defined as turbulence and excessive reaction in money markets due to very extreme speculation in money and exchange markets, various internal and external factors such as poor management of monetary...

The main objective of this study was introducing the new term “monetary behavioral”, which is defined as turbulence and excessive reaction in money markets due to very extreme speculation in money and exchange markets, various internal and external factors such as poor management of monetary...