We investigate whether two heuristics, the peak-end rule and herding, lead to cognitive biases in the index of consumer sentiment published by the University of Michigan. Both affect respondents' assessment of changes in their financial position over the past year. Consistent with the peak-end...

Purpose - The purpose of this paper is to investigate whether sentiment and mood, which are distinct theoretical concepts, can also be distinguished empirically. Design/methodology/approach - Using a sample of German small-cap stocks and linear techniques, the effect of sentiment and mood on...

Psychology and economics (the mixture of which is known as behavioral economics) are two fundamental disciplines underlying marketing. Various marketing studies document the non-rational behavior of consumers, even though behavioral biases might not always be consistently termed or formally...

This paper proposes that millennials' investing behavior is driven by generational biases-investment-related biases that millennials share. The results of an online survey of 516 millennial investors revealed that generational biases-fear of missing out, socially responsible investing,...