The purpose of this paper is to investigate to what extent financial investors are overconfident in financial markets. More importantly, I explored how this psychological attribute may have any bearing on investment performance. The main question is how ans why overconfidence affect investment...

While many economic interactions feature “All-or-Nothing” options nudging investors towards going “all-in,” such designs may unintentionally affect reciprocity. We manipulate the investor’s action space in two versions of the “trust game.” In one version investors can invest either...

We study the implications of a particular form of irrationality on the pricing behavior of firms in a monopolistic-competitive market with incomplete information. We assume that firms are overconfident, meaning that they over-estimate their abilities to understand the correct model of the...

Digitalization has changed existing business models and enabled new ones. This development has been accompanied by the emergence of new pricing options and the possibility of applying established pricing models in new domains. Today, consumers can, for example, pay for accessing a product...