Summary
Frydman and Camerer review the evidence: households under-diversify and under-save, investors chase past returns and trade too often, and even top executives are swayed by overconfidence.
They connect these errors to known features of how the brain processes reward and risk.
Source
- Title
- The Psychology and Neuroscience of Financial Decision Making
- Author
- Cary Frydman and Colin F. Camerer
- Year
- 2016
- Published by
- Trends in Cognitive Sciences
- Length
- 15 pages
- File
- PDF · 2.2 MB