Designed for MBA and PhD students, this volume offers comprehensive lecture notes on behavioral finance, drawing from the author's teaching experiences at Bocconi University and the Academic College of Tel Aviv-Yaffo. It provides insights into the psychological influences on financial decision-making, making it a valuable resource for those studying advanced finance concepts.
Behavioral finance explores the limitations of the efficient market hypothesis and challenges the notion of rational decision-making by highlighting psychological biases. As the field has matured, its initial goals have been met, raising questions about its future relevance. Researchers now face a critical juncture, needing to determine the direction that will allow behavioral finance to continue evolving and significantly enhance financial understanding.
Original papers in this collection delve into innovative concepts within behavioral finance, addressing both traditional and unconventional topics. The chapters achieve a balance between expanding research horizons and refining existing knowledge, making it a comprehensive resource for understanding the complexities of behavioral finance.