Recent evidence suggests that ideology has the potential to affect academic research in economics and that exposure to a wide range of approaches may increase intellectual diversity, eventually leading to better decisions. Therefore, writing a literature review in behavioral finance, in principle, can bring benefits to a wide range of readers, especially since the field of behavioral finance itself has already grown into a complex web of related but distinct sub-fields and reached a stage when it can guide policy decisions. This review differs from the existent ones as it focuses on the history of the field and its psychological foundations. While the review of psychological foundations is necessary to appreciate the benefits of a behavioral approach and understand its limitations, even a brief historical detour may provide a compelling case against a naive dichotomy between behavioral and classical finance.
Abdellaoui, M., Bleichrodt, H., Paraschiv, C. (2007). Loss aversion under prospect theory: A parameter-free measurement. Management Science, 53(10), 1659-1674. https://doi.org/10.1287/mnsc.1070.0711
Akbas, F., Armstrong, W. J., Sorescu, S., Subrahmanyam, A. (2015). Smart money, dumb money, and capital market anomalies. Journal of Financial Economics, 118(2), 355-382. https://doi.org/10.1016/j.jfineco.2015.07.003
Alpert, M., Raiffa, H. (1982). A progress report on the training of probability assessors. In D. Kahneman, P. Slovic & A. Tversky (eds.), Judgment Under Uncertainty: Heuristics and Biases. Cambridge: Cambridge University Press. https://doi.org/10.1017/CBO9780511809477.022
Alter, M. (1982). Carl Menger and homo oeconomicus: Some thoughts on Austrian theory and methodology. Journal of Economic Issues, 16(1), 149-160. http://doi.org/10.1080/00213624.1982.11503966
Amini, S., Gebka, B., Hudson, R. S., Keasey, K. (2013). A review of the international literature on the short term predictability of stock prices conditional on large prior price changes: Microstructure, behavioral and risk related explanations. International Review of Financial Analysis, 26, 1-17. https://doi.org/10.1016/j.irfa.2012.04.002
Anderson, A. (2007). All guts, no glory: Trading and diversification among online investors. European Financial Management, 13(3), 448-471. https://doi.org/10.1111/j.1468-036x.2007.00368.x
Anderson, A. (2013). Trading and under-diversification. Review of Finance, 17(5), 1699-1741. https://doi.org/10.1093/rof/rfs044
Angner, E., Loewenstein, G. (2006). Behavioral economics. Handbook of the Philosophy of Science: Philosophy of Economics. Amsterdam: Elsevier.
Apicella, C. L., Azevedo E. M., Christakis N. A., Fowler J. H. (2014). Evolutionary Origins of the Endowment Effect: Evidence From Hunter-Gatherers. American Economic Review, Vol. 104, No. 6, pp. 1793-1805. https://doi.org/10.1257/aer.104.6.1793
Ariely D., Loewenstein G., Prelec D. (2003). “Coherent arbitrariness”: Stable demand curves without stable preferences. Quarterly Journal of Economics, 118(1), 73-106. https://doi.org/10.1162/00335530360535153
Ariely, D., Loewenstein, G., Prelec, D. (2006). Tom Sawyer and the construction of value. Journal of Economic Behavior & Organization, 60(1), 1-10. https://doi.org/10.1016/j.jebo.2004.10.003
Arkes, H. R. (1991). Costs and benefits of judgment error: Implications for debiasing. Psychological Bulletin, 110(3), 486-498. https://psycnet.apa.org/doi/10.1037/0033-2909.110.3.486
Ashraf, N., Camerer, C. F., Loewenstein, G. (2005). Adam Smith, behavioral economist. Journal of Economic Perspectives, 19(3), 131-145. https://doi.org/10.1257/089533005774357897
Baker, M., Wurgler, J. (2011). Behavioral corporate finance: An updated survey. Working Paper, 17333. NBER. Retrieved from http://www.nber.org/papers/w17333
Banz, R. W. (1981). The relationship between return and market value of common stocks. Journal of Financial Economics, 9(1), 3-18. https://doi.org/10.1016/0304-405x(81)90018-0
Barber, B. M., Odean, T. (2001). Boys will be boys: Gender, overconfidence, and common stock investment. Quarterly Journal of Economics, 116(1), 261-292. https://doi.org/10.1162/003355301556400
Barberis, N. C. (2013). Thirty years of prospect theory in economics: A review and assessment. Journal of Economic Perspectives, 27(1), 173-195. https://doi.org/10.1257/jep.27.1.173
Barberis, N., Shleifer, A. (2003). Style investing. Journal of Financial Economics, 68(2), 161-199. https://doi.org/10.1016/S0304-405X(03)00064-3
Barberis, N., Thaler, R. (2003). A survey of behavioral finance. Handbook of the Economics of Finance, 1053-1128.
Baron, J., Hershey, J. C. (1988). Outcome bias in decision evaluation. Journal of Personality and Social Psychology, 54(4), 569-579. http://dx.doi.org/10.1037/0022-3514.54.4.569
Bassi, A., Colacito, R., Fulghieri, P. (2013). 'O sole mio: an experimental analysis of weather and risk attitudes in financial decisions. Review of Financial Studies, 26(7), 1824-1852. https://doi.org/10.1093/rfs/hht004
Basu, S. (1977). Investment performance of common stocks in relation to their price-earnings ratios: A test of the efficient market hypothesis. Journal of Finance, 32(3), 663-682. https://doi.org/10.1111/j.1540-6261.1977.tb01979.x
Bazley, W. J., Cronqvist, H., Mormann, M. (2016). In the red: How color affects investors and financial markets. Unpublished manuscript. Retrieved from https://goo.gl/Bb4T1Q
Benartzi, S., Thaler, R.H. (1995). Myopic loss aversion and the equity premium puzzle. Quarterly Journal of Economics, 110(1), 73-92. https://doi.org/10.2307/2118511
Berg, N., Gigerenzer, G. (2010). As-if behavioral economics: Neoclassical economics in disguise? History of Economic Ideas, 133-165.
Biais, B., Weber, M. (2009). Hindsight bias, risk perception, and investment performance. Management Science, 55(6), 1018-1029. https://doi.org/10.1287/mnsc.1090.1000
Bikas, E., Jurevičienė, D., Dubinskas, P., Novickyte, L. (2013). Behavioural finance: The emergence and development trends. Procedia-social and behavioral sciences, 82, 870-876. https://doi.org/10.1016/j.sbspro.2013.06.363
Black, F. (1986). Noise. The journal of Finance, 41(3), 528-543. https://doi.org/10.1111/j.1540-6261.1986.tb04513.x
Brewer, E., Jagtiani, J. (2013). How much did banks pay to become too-big-to-fail and to become systemically important? Journal of Financial Services Research, 43(1), 1-35. https://doi.org/10.1007/s10693-011-0119-6
Bucciol, A., Cavasso, B., Zarri, L. (2015). Social status and personality traits. Journal of Economic Psychology, 51, 245-260. https://doi.org/10.1016/j.joep.2015.10.002
Bulir, A., Cihak, M. (2008). Central bankers' dilemma when banks are vulnerable: To tighten or not to Tighten? Mimeo: International Monetary Fund.
Camerer, C. (2005). Three cheers—psychological, theoretical, empirical—for loss aversion. Journal of Marketing Research, 42(2), 129-133. https://doi.org/10.1509/jmkr.42.2.129.62286
Camerer, C., Babcock, L., Loewenstein, G., Thaler, R. (1997). Labor supply of New York City cabdrivers: One day at a time. Quarterly Journal of Economics, 112(2), 407-441. https://doi.org/10.1162/003355397555244
Camerer, C. F., Hogarth, R. M., Budescu, D. V., Eckel, C. (1999). The effects of financial incentives in experiments: A review and capital-labor-production framework. In Elicitation of Preferences, 7-48. Berlin: Springer. https://doi.org/10.1007/978-94-017-1406-8_2
Carter, C. R., Kaufmann, L., Michel, A. (2007). Behavioral supply management: a taxonomy of judgment and decision-making biases. International Journal of Physical Distribution & Logistics Management, 37(8), 631-669. https://doi.org/10.1108/09600030710825694
Cen, L., Hilary, G., Wei, K. J. (2013). The role of anchoring bias in the equity market: Evidence from analysts' earnings forecasts and stock returns. Journal of Financial and Quantitative Analysis, 48(01), 47-76. https://doi.org/10.1017/S0022109012000609
Cesarini, D., Johannesson, M., Lichtenstein, P., Sandewall, Ö., Wallace, B. (2010). Genetic variation in financial decision-making. Journal of Finance, 65(5), 1725-1754. https://doi.org/10.1111/j.1540-6261.2010.01592.x
Chang, C.-H., Lin, S.-J. (2015). The effects of national culture and behavioral pitfalls on investors' decision-making: Herding behavior in international stock markets. International Review of Economics & Finance, 37, 380-392. https://doi.org/10.1016/j.iref.2014.12.010
Chen, G., Kim, K. A., Nofsinger, J. R., Rui, O. M. (2007). Trading performance, disposition effect, overconfidence, representativeness bias, and experience of emerging market investors. Journal of Behavioral Decision Making, 20(4), 425-451. https://doi.org/10.1002/bdm.561
Chen, M. K., Lakshminarayanan, V., Santos, L. R. (2006). How basic are behavioral biases? Evidence from capuchin monkey trading behavior. Journal of Political Economy, 114(3), 517-537. https://doi.org/10.1086/503550
Choi, J. J., Laibson, D., Madrian, B. C., Metrick, A. (2004). For better or for worse: Default effects and 401 (k) savings behavior. In Perspectives on the Economics of Aging, 81-126. Chicago: University of Chicago Press. https://doi.org/10.7208/chicago/9780226903286.003.0003
Christiansen, C., Joensen, J. S., Rangvid, J. (2008). Are economists more likely to hold stocks? Review of Finance, 12(3), 465-496. https://doi.org/10.1093/rof/rfm026
Coates, J. M., Herbert, J. (2008). Endogenous steroids and financial risk taking on a London trading floor. Proceedings of the national academy of sciences, 105(16), 6167-6172. https://doi.org/10.1073/pnas.0704025105
Cochrane, J. (2013). Is finance too big? The Grumpy Economist, 19. Retrieved from http://faculty.chicagobooth.edu/john.cochrane/research/papers/size_of_finance.pdf
Corredor, P., Ferrer, E., Santamaria, R. (2013). Value of analysts' consensus recommendations and investor sentiment. Journal of Behavioral Finance, 14(3), 213-229. https://doi.org/10.1080/15427560.2013.819805
Crawford, V. P., Meng, J. (2011). New York city cab drivers' labor supply revisited: Reference-dependent preferences with rational expectations targets for hours and income. American Economic Review, 101(5), 1912-1932.
Cronqvist, H., Siegel, S. (2014). The genetics of investment biases. Journal of Financial Economics, 113(2), 215-234. https://doi.org/10.1016/j.jfineco.2014.04.004
Croskerry, P., Singhal, G., Mamede, S. (2013). Cognitive debiasing 1: origins of bias and theory of debiasing. BMJ quality & safety, 22(2), 58-64. https://doi.org/10.1136/bmjqs-2012-001712
Damasio, A. (2008). Descartes' error: Emotion, reason and the human brain. New York: Random House.
Daniel, K., Hirshleifer, D., Subrahmanyam, A. (1998). Investor psychology and security market under-and overreactions. Journal of Finance, 53(6), 1839-1885. https://doi.org/10.1111/0022-1082.00077
De Bondt, W. F., Thaler, R.H. (1990). Do security analysts overreact? American Economic Review, 80(2), 52-57.
De Bondt, W. F., Thaler, R. (1985). Does the stock market overreact? Journal of Finance, 40(3), 793-805. https://doi.org/10.1111/j.1540-6261.1985.tb05004.x
De Long, J. B., Shleifer, A., Summers, L. H., Waldmann, R. J. (1990). Noise trader risk in financial markets. Journal of Political Economy, 98(4), 703-738. https://doi.org/10.1086/261703
Dehling, H. G. (1997). Daniel Bernoulli and the St. Petersburg paradox. Nieuw Archief Voor Wiskunde, 15, 223-228.
DeLong, J., Shleifer, A., Summers, L. H., Waldmann, R. (1991). The survival of noise traders in financial markets. Journal of Business, 64(1), 1-19.
Dougal, C., Engelberg, J., Parsons, C. A., Van Wesep, E. D. (2015). Anchoring on credit spreads. Journal of Finance, 70(3), 1039-1080. https://doi.org/10.1111/jofi.12248
Dow, S. C. (2003). Understanding the relationship between mathematics and economics. Journal of Post Keynesian Economics, 25(4), 547-560.
Evstigneev, I., Hens, T., Schenk-Hoppé, K. R. (2016). Evolutionary behavioral finance. In The Handbook of Post Crisis Financial Modeling. Berlin: Springer. https://doi.org/10.1007/978-1-137-49449-8_9
Fama, E. F. (1991). Efficient capital markets II. Journal of Finance, 46(5), 1575-1617. https://doi.org/10.1111/j.1540-6261.1991.tb04636.x
Fama, E. F. (2014). Two pillars of asset pricing. American Economic Review, 104(6), 1467-1485. https://doi.org/10.1257/aer.104.6.1467
Fama, E. F., French, K. R. (1992). The cross-section of expected stock returns. Journal of Finance, 47(2), 427-465. https://doi.org/10.2307/2329112
Fedyk, A., Hodson, J. (2015). When can the market identify stale news? https://doi.org/10.2139/ssrn.2433234
Fischhoff, B., Beyth, R. (1975). I knew it would happen: Remembered probabilities of once-future things. Organizational Behavior and Human Performance, 13(1), 1-16. https://doi.org/10.1016/0030-5073(75)90002-1
Fleckenstein, M., Longstaff, F. A., Lustig, H. (2014). The tips-treasury bond puzzle. Journal of Finance, 69(5), 2151-2197. https://doi.org/10.1111/jofi.12032
Forbes, W., Hudson, R., Skerratt, L., Soufian, M. (2015). Which heuristics can aid financial-decision-making? International Review of Financial Analysis, 42, 199-210. https://doi.org/10.1016/j.irfa.2015.07.002
Frazzini, A., Pedersen, L. H. (2014). Betting against beta. Journal of Financial Economics, 111(1), 1-25. https://doi.org/10.1016/j.jfineco.2013.10.005
Friedman, M. (1953). The methodology of positive economics. In Friedman M., editor, Essays in Positive Economics, 3-43. Chicago: University of Chicago Press.
Frydman, C., Camerer, C. F. (2016). The psychology and neuroscience of financial decision making. Trends in Cognitive Sciences, 20(9), 661-675. https://doi.org/10.1016/j.tics.2016.07.003
Gennaioli, N., Shleifer, A., Vishny, R. (2015). Money doctors. Journal of Finance, 70(1), 91-114. https://doi.org/10.1111/jofi.12188
Greenwood, R. M., Scharfstein, D. S. (2012). The growth of modern finance. http://doi.org/10.2139/ssrn.2162179
Grinblatt, M., Keloharju, M. (2009). Sensation seeking, overconfidence, and trading activity. Journal of Finance, 64 (2), 549-578. https://doi.org/10.1111/j.1540-6261.2009.01443.x
Grinblatt, M., Keloharju, M., Linnainmaa, J. T. (2012). IQ, trading behavior, and performance. Journal of Financial Economics, 104(2), 339-362. https://doi.org/10.1016/j.jfineco.2011.05.016
Grosshans, D., Zeisberger, S. (2016). All's well that ends well? on the importance of how returns are achieved. https://doi.org/10.2139/ssrn.2579636
Grossman, S. J., Stiglitz, J. E. (1980). On the impossibility of informationally efficient markets. American Economic Review, 70(3), 393-408.
Guidolin, M., Rinaldi, F. (2013). Ambiguity in asset pricing and portfolio choice: A review of the literature. Theory and Decision, 74(2), 183-217. https://doi.org/10.1007/s11238-012-9343-2
Gürkaynak, R. S. (2008). Econometric tests of asset price bubbles: taking stock. Journal of Economic Surveys, 22(1), 166-186. https://doi.org/10.1111/j.1467-6419.2007.00530.x
Haidt, J. (2006). The happiness hypothesis: Finding modern truth in ancient wisdom. New York: Basic Books.
Haidt, J., Kesebir, S. (2010). Morality. In Handbook of social psychology, 5-th Edition, pp. 797-832. Hoboken: John Wiley & Sons,
Haruvy, E., Noussair, C. N. (2006). The effect of short selling on bubbles and crashes in experimental spot asset markets. Journal of Finance, 61 (3), 1119-1157. https://doi.org/10.1111/j.1540-6261.2006.00868.x
Harvey, C. R., Liu, Y., Zhu, H. (2015). ... and the Cross-Section of Expected Returns. Review of Financial Studies, 29(1), 5-68. https://doi.org/10.1093/rfs/hhv059
Hayden, B. Y., Platt, M. L. (2009). The mean, the median, and the St. Petersburg paradox. Judgment and Decision Making, 4(4), 256-272.
Head, A., Smith, G., Wilson, J. (2009). Would a stock by any other ticker smell as sweet? Quarterly Review of Economics and Finance, 49(2), 551-561. https://doi.org/10.1016/j.qref.2007.03.008
Heidhues, P., Koszegi, B. (2014). Regular prices and sales. Theoretical Economics, 9(1), 217-251. https://doi.org/10.3982/TE1274
Hens, T., Rieger, M. O. (2016). Financial Economics. Berlin: Springer.
Heukelom, F. (2007). Kahneman and Tversky and the origin of behavioral economics. Discussion Paper, 07-003/1. Tinbergen Institute. https://doi.org/10.2139/ssrn.956887
Hirshleifer, D. (2015). Behavioral finance. Annual Review of Financial Economics, 7, 133-159. https://doi.org/10.1146/annurev-financial-092214-043752
Hirshleifer, D., Jian, M., Zhang, H. (2016). Superstition and financial decision making. Management Science. https://doi.org/10.1287/mnsc.2016.2584
Hirshleifer, D., Subrahmanyam, A., Titman, S. (2006). Feedback and the success of irrational investors. Journal of Financial Economics, 81(2), 311-338. https://doi.org/10.1016/j.jfineco.2005.05.006
Hoffmann, A. O., Post, T. (2014). Self-attribution bias in consumer financial decision-making: How investment returns affect individuals' belief in skill. Journal of Behavioral and Experimental Economics, 52, 23-28. https://doi.org/10.1016/j.socec.2014.05.005
Hong, H., Jiang, W., Wang, N., Zhao, B. (2014). Trading for status. Review of Financial Studies, 27(11), 3171-3212. https://doi.org/10.1093/rfs/hhu048
Hong, H., Stein, J. C. (1999). A unified theory of underreaction, momentum trading, and overreaction in asset markets. Journal of Finance, 54(6), 2143-2184. https://doi.org/10.1111/0022-1082.00184
Hong, H., Stein, J. C. (2007). Disagreement and the stock market. Journal of Economic Perspectives, 21(2), 109-128. https://doi.org/10.1257/jep.21.2.109
Huberman, G., Regev, T. (2001). Contagious speculation and a cure for cancer: A nonevent that made stock prices soar. Journal of Finance, 56(1), 387-396. https://doi.org/10.1111/0022-1082.00330
Jegadeesh, N., Titman, S. (1993). Returns to buying winners and selling losers: Implications for stock market efficiency. Journal of Finance, 48(1), 65-91. https://doi.org/10.1111/j.1540-6261.1993.tb04702.x
Jelveh, Z., Kogut, B., Naidu, S. (2015). Political language in economics. Columbia Business School Research Paper, 14-57.
Jiang, D., Kumar, A., Law K.K. (2016). Political contributions and analyst behavior. Review of Accounting Studies, 21(1), 37-88. https://doi.org/10.1007/s11142-015-9344-9
Jones, R. C., Wermers, R. (2011). Active management in mostly efficient markets. Financial Analysts Journal, 67(6), 29-45. https://doi.org/10.2469/faj.v67.n6.5
Kahneman, D., Frederick, S. (2002). Representativeness revisited: Attribute substitution in intuitive judgment. Heuristics and biases: The psychology of intuitive judgment, 49-81. https://doi.org/10.1017/CBO9780511808098.004
Kahneman, D., Tversky, A. (1979). Prospect theory: An analysis of decision under risk. Econometrica: Journal of the Econometric Society, 47(2), 263-292. https://doi.org/10.2307/1914185
Kaplan, A. (1964). The Conduct of Inquiry: Methodology for Behavioral Science. San Francisco: Chandler Publishing Company.
Kaplanski, G., Levy, H., Veld, C., Veld-Merkoulova, Y. (2015). Do happy people make optimistic investors? Journal of Financial and Quantitative Analysis, 50(1-2), 145-168. https://doi.org/10.1017/s0022109014000416
Kaustia, M., Alho, E., Puttonen, V. (2008). How much does expertise reduce behavioral biases? The case of anchoring effects in stock return estimates. Financial Management, 37(3), 391-412. https://doi.org/10.1111/j.1755-053X.2008.00018.x
Kaustia, M., Knüpfer, S. (2008). Do Investors Overweight Personal Experience? Evidence from IPO subscriptions. Journal of Finance, 63(6), 2679-2702. https://doi.org/10.1111/j.1540-6261.2008.01411.x
Kaustia, M., Luotonen, N. (2016). What drives the heterogeneity in portfolio choice? The role of institutional, traditional, and behavioral factors. https://doi.org/10.2139/ssrn.2845963
Kim, J., Kim, J.-S., Yoo, S. S. (2016). Regulatory overkill? Short-sales ban in Korea. International Journal of Managerial Finance, 12(5), 673-699. https://doi.org/10.1108/IJMF-12-2014-0191
Kindleberger, C., Aliber, R. M. (2005). Panics, and crashes: A history of financial crises. Hoboken: John Wiley & Sons.
König, F. (2016). Analyst behavior: The geography of social interaction. Journal of Behavioral Finance, 17(3), 201-216. https://doi.org/10.1080/15427560.2016.1171223
Korniotis, G. M., Kumar, A. (2011). Do older investors make better investment decisions? Review of Economics and Statistics, 93(1), 244-265. https://doi.org/10.1162/rest_a_00053
Köszegi, B., Rabin, M. (2009). Reference-dependent consumption plans. American Economic Review, 99(3), 909-936. https://doi.org/10.1257/aer.99.3.909
Krueger, J. I., Funder, D. C. (2004). Towards a balanced social psychology: Causes, consequences, and cures for the problem-seeking approach to social behavior and cognition. Behavioral and Brain Sciences, 27(3), 328-376. https://doi.org/10.1017/s0140525x04000081
Kuhnen, C. M., Knutson, B. (2011). The influence of affect on beliefs, preferences, and financial decisions. Journal of Financial and Quantitative Analysis, 46(3), 605-626. https://doi.org/10.1017/S0022109011000123
Laibson, D. (1997). Golden eggs and hyperbolic discounting. Quarterly Journal of Economics, 112(2), 443-478. https://doi.org/10.1162/003355397555253
Lakoff, G., Johnson, M. (1999). Philosophy in the flesh: The embodied mind and its challenge to western thought. New York: Basic Books.
Lamont, O. A., Thaler, R. H. (2003). Anomalies: The law of one price in financial markets. Journal of Economic Perspectives, 17()4, 191-202. https://doi.org/10.1257/089533003772034952
Larcker, D. F., Zakolyukina, A. A. (2012). Detecting deceptive discussions in conference calls. Journal of Accounting Research, 50(2), 495-540. https://doi.org/10.1111/j.1475-679X.2012.00450.x
Larrick, R. P. (2004). Debiasing. In D. J. Koehler & N. Harvey (Eds.), Blackwell Handbook of Judgment and Decision Making. Hoboken: Blackwell Publishing Ltd. https://doi.org/10.1002/9780470752937.ch16
Lester, R. A. (1946). Shortcomings of marginal analysis for wage-employment problems. American Economic Review, 36(1), 63-82.
Levy, M. (2015). An evolutionary explanation for risk aversion. Journal of Economic Psychology, 46, 51-61. https://doi.org/10.1016/j.joep.2014.12.001
Lewin, S. B. (1996). Economics and psychology: Lessons for our own day from the early twentieth century. Journal of Economic Literature, 34(3), 1293-1323.
Li, Y., Baldassi, M., Johnson, E. J., Weber, E. U. (2013). Complementary cognitive capabilities, economic decision making, and aging. Psychology and Aging, 28(3), 595-613. https://doi.org/10.1037/a0034172
Li, Y., Yang, L. (2013). Prospect theory, the disposition effect, and asset prices. Journal of Financial Economics, 107(3), 715-739. https://doi.org/10.1016/j.jfineco.2012.11.002
Iivamägi, K. (2016). Investor Education and Trading Activity on the Stock Market. Baltic Journal of Economics, 16(2), 114-131. https://doi.org/10.1080/1406099X.2016.1189058
Liivamagi, K., Vaarmets, T., Talpsepp, T. (2014). Masters of the Stock Market. Working Paper. TUT Economic Research Series, TUTECON Working Paper, 7, 1-25.
Liu, B., Govindan, R., Uzzi, B. (2016). Do emotions expressed online correlate with actual changes in decision-making? The case of stock day traders. PloS One, 11(1). https://doi.org/10.1371/journal.pone.0144945
Lo, A. W., Repin, D.V., Steenbarger, B. N. (2005). Fear and greed in financial markets: A clinical study of day-traders. Working Paper, 11243. NBER. https://doi.org/10.3386/w11243
Loewenstein, G., Rick, S., Cohen, J. D. (2008). Neuroeconomics. Annual Review of Psychology, 59, 647-672. https://doi.org/10.1146/annurev.psych.59.103006.093710
Machlup, F. (1946). Marginal analysis and empirical research. American Economic Review, 36(4), 519-554.
Mehra, R., Prescott, E. C. (1985). The equity premium: A puzzle. Journal of Monetary Economics, 15(2), 145-161. https://doi.org/10.1016/0304-3932(85)90061-3
Meier, S., Sprenger, C. (2010). Present-biased preferences and credit card borrowing. American Economic Journal: Applied Economics, 2(1), 193-210. https://doi.org/10.1257/app.2.1.193
Milgrom, P., Stokey, N. (1982). Information, trade and common knowledge. Journal of Economic Theory, 26(1), 17-27. https://doi.org/10.1016/0022-0531(82)90046-1
Miller, E. M. (1977). Risk, uncertainty, and divergence of opinion. Journal of Finance, 32(4), 1151-1168. https://doi.org/10.1111/j.1540-6261.1977.tb03317.x
Miller, M. H. (2000). The history of finance: an eyewitness account. Journal of Applied Corporate Finance, 13(2), 8-14. https://doi.org/10.1111/j.1745-6622.2000.tb00050.x
Mirowski, P. (1992). Against mechanism: protecting economics from science. Lanham: Rowman & Littlefield Publishers.
Mola, S. (2013). Framing the initiation of analyst coverage on IPOs. Journal of Behavioral Finance, 14(1), 25-41. https://doi.org/10.1080/15427560.2013.759578
Morewedge, C. K., Kahneman, D. (2010). Associative processes in intuitive judgment. Trends in cognitive sciences, 14(10), 435-440. https://doi.org/10.1016/j.tics.2010.07.004
Nagatsu, M. (2015). Behavioral Economics, History of. International Encyclopedia of the Social & Behavioral Sciences, Edition: 2nd, pp. 443-449. https://doi.org/10.1016/B978-0-08-097086-8.03053-1
Nguyen, T., Schuessler, A. (2012). Investment decisions and socio-demographic characteristics – empirical evidence from Germany. International Journal of Economics and Finance, 4(9), 1-12. https://doi.org/10.5539/ijef.v4n9p1
Nickerson, R. S. (1998). Confirmation bias: A ubiquitous phenomenon in many guises. Review of General Psychology, 2(2), 175-220. https://doi.org/10.1037/1089-2680.2.2.175
Niederhoffer, V. (1971). The analysis of world events and stock prices. Journal of Business, 44(2), 193-219. https://doi.org/10.1086/295352
Oehler, A., Wedlich, F., Wendt, S., Horn, M. (2016). Does personality drive price bubbles? Retrieved from https://ssrn.com/abstract=2807401
Pagel, M. (2013). Expectations-based reference-dependent life-cycle consumption. https://doi.org/10.2139/ssrn.2268254
Palan, S. (2013). A review of bubbles and crashes in experimental asset markets. Journal of Economic Surveys, 27(3), 570-588. https://doi.org/10.1111/joes.12023
Palan, S. (2015). GIMS–Software for asset market experiments. Journal of Behavioral and Experimental Finance, 5, 1-14. https://doi.org/10.1016/j.jbef.2015.02.001
Parker, A. M., Fischhoff, B. (2005). Decision-making competence: External validation through an individual-differences approach. Journal of Behavioral Decision Making, 18(1), 1-27. https://doi.org/10.1002/bdm.481
Persky, J. (1995). Retrospectives: The ethology of Homo Economicus. Journal of Economic Perspectives, 9(2), 221-231. https://doi.org/10.1257/jep.9.2.221
Pompian, M. (2012). Behavioral Finance and Investor Types: Managing Behavior to Make Better Investment Decisions. Hoboken: John Wiley & Sons. https://doi.org/10.1002/9781119202417
Reinhart, C., Rogoff, K. (2013). Shifting Mandates: The Federal Reserve's First Centennial. Working Paper, 18888. NBER. https://doi.org/10.3386/w18888
Reinhart, C. M., Rogoff, K. S. (2008). This time is different: A panoramic view of eight centuries of financial crises. Working Paper, 13882. NBER. https://doi.org/10.3386/w13882
Richardson, S., Teoh, S. H., Wysocki, P. D. (2004). The walk-down to beatable analyst forecasts: The role of equity issuance and insider trading incentives. Contemporary accounting research, 21(4), 885-924. https://doi.org/10.1506/KHNW-PJYL-ADUB-0RP6
Roll, R. (1986). The hubris hypothesis of corporate takeovers. Journal of Business, 2(1), 197-216. https://doi.org/10.1086/296325
Rubinstein, M. (2001). Rational markets: yes or no? The affirmative case. Financial Analysts Journal, 57(3), 15-29. https://doi.org/10.2469/faj.v57.n3.2447
Rustichini, A. (2009). Neuroeconomics: what have we found, and what should we search for. Current opinion in neurobiology, 19(6), 672-677. https://doi.org/10.1016/j.conb.2009.09.012
Sahi, S. K., Arora, A. P., Dhameja, N. (2013). An exploratory inquiry into the psychological biases in financial investment behavior. Journal of Behavioral Finance, 14(2), 94-103. https://doi.org/10.1080/15427560.2013.790387
Samuelson, P. A. (1977). St. Petersburg paradoxes: Defanged, dissected, and historically described. Journal of Economic Literature, 15(1), 24-55.
Samuelson, W., Zeckhauser, R. (1988). Status quo bias in decision making. Journal of risk and uncertainty, 1(1), 7-59. https://doi.org/10.1007/BF00055564
Santos, L. R., Rosati, A. G. (2015). The evolutionary roots of human decision making. Annual review of psychology, 66, 321-347. https://doi.org/10.1146/annurev-psych-010814-015310
Scopelliti, I., Morewedge, C. K., McCormick, E., Min, H. L., Lebrecht, S., Kassam, K. S. (2015). Bias blind spot: Structure, measurement, and consequences. Management Science, 61(10), 2468-2486. https://doi.org/10.1287/mnsc.2014.2096
Sent, E.-M. (2004). Behavioral economics: how psychology made its (limited) way back into economics. History of Political Economy, 36(4), 735-760. https://doi.org/10.1215/00182702-36-4-735
Shefrin, H., Statman, M. (1985). The disposition to sell winners too early and ride losers too long: Theory and evidence. Journal of Finance, 40(3), 777-790. https://doi.org/10.1111/j.1540-6261.1985.tb05002.x
Shefrin, H., Statman, M. (2000). Behavioral portfolio theory. Journal of Financial and Quantitative Analysis, 35(02), 127-151. https://doi.org/10.2307/2676187
Shefrin, H. M., Thaler, R. H. (1988). The behavioral life-cycle hypothesis. Economic Inquiry, 26(4), 609-643. https://doi.org/10.1111/j.1465-7295.1988.tb01520.x
Shiller, R. (1981a). Do stock prices move too much to be justified by subsequent changes in dividends? American Economic Review, 71(3), 421-436.
Shiller, R. J. (2003). From efficient markets theory to behavioral finance. Journal of Economic Perspectives, 17(1), 83-104. https://doi.org/10.1257/089533003321164967
Shleifer, A., Vishny, R. W. (1997). The limits of arbitrage. Journal of Finance, 52(1), 35-55. https://doi.org/10.1111/j.1540-6261.1997.tb03807.x
Slovic, P. (1972). Psychological study of human judgment: Implications for investment decision making. Journal of Finance, 27(4), 779-799. https://doi.org/10.1111/j.1540-6261.1972.tb01311.x
Slovic, P., Finucane, M., Peters, E., MacGregor, D. G. (2002). Rational actors or rational fools: Implications of the affect heuristic for behavioral economics. Journal of Socio-Economics, 31(4), 329-342. https://doi.org/10.1016/S1053-5357(02)00174-9
Smith, V. L., Suchanek, G. L., Williams, A. W. (1988). Bubbles, Crashes, and Endogenous Expectations in Experimental Spot Asset Markets. Econometrica: Journal of the Econometric Society, 56(5), 1119-1151. https://doi.org/10.2307/1911361
Statman, M. (2014). Behavioral finance: Finance with normal people. Borsa Istanbul Review, 14(2), 65-73. https://doi.org/10.1016/j.bir.2014.03.001
Sutton, R. S., Barto, A. G. (1998). Reinforcement learning: An introduction. Cambridge: MIT Press.
Talpsepp, T. (2011). Reverse disposition effect of foreign investors. Journal of Behavioral Finance, 12(4), 183-200. https://doi.org/10.1080/15427560.2011.606387
Thaler, R. (1980). Toward a positive theory of consumer choice. Journal of Economic Behavior & Organization, 1(1), 39-60. https://doi.org/10.1016/0167-2681(80)90051-7
Thaler, R. H. (1986). The psychology and economics conference handbook: Comments on Simon, on Einhorn and Hogarth, and on Tversky and Kahneman. Journal of Business, 59(4), 279-284. https://doi.org/10.1086/296366
Thaler, R. H. (1993). Advances in Behavioral Finance, 1. New York: Russell Sage Foundation.
Thaler, R. H. (1999a). The end of behavioral finance. Financial Analysts Journal, 55(6), 12-17.
Thaler, R. H. (1999b). Mental accounting matters. Journal of Behavioral Decision Making, 12(3), 183-206.
Thaler, R. H. (2015). Misbehaving: The making of behavioral economics. New York: WW Norton & Company.
Thaler, R. H., Benartzi, S. (2004). Save more tomorrow: Using behavioral economics to increase employee saving. Journal of Political Economy, 112(1), 164-187. https://doi.org/10.1086/380085
Thaler, R. H., Shefrin, H. M. (1981). An economic theory of self-control. Journal of Political Economy, 89(2), 392-406. https://doi.org/10.1086/260971
Thaler, R. H., Sunstein, C.R. (2008). Nudge: Improving decisions about health, wealth, and happiness. New Haven: Yale University Press.
Tversky, A., Kahneman, D. (1985). The framing of decisions and the psychology of choice. In Environmental Impact Assessment, Technology Assessment, and Risk Analysis, pp. 107-129. Berlin: Springer. https://doi.org/10.1007/978-3-642-70634-9_6
Vaarmets, T., Liivamagi, K., Talpsepp, T. (2015). How does learning and education help to overcome the disposition effect? https://doi.org/10.2139/ssrn.2721460
Van Dolder, D., Van den Assem, M. J., Camerer, C., Thaler, R. H. (2015). Standing united or falling divided? High stakes bargaining in a TV game show. American Economic Review, Papers, and Proceedings, 105(5), 402-407. https://doi.org/10.1257/aer.p20151017
Vayanos, D., Woolley, P. (2013). An institutional theory of momentum and reversal. Review of Financial Studies, 26(5), 1087-1145. https://doi.org/10.1093/rfs/hht014
Weber, E. U., Milliman, R. A. (1997). Perceived risk attitudes: Relating risk perception to risky choice. Management Science, 43(2), 123-144. https://doi.org/10.1287/mnsc.43.2.123
Winch, D. (1972). Marginalism and the boundaries of economic science. History of Political Economy, 4(2), 325-343. https://doi.org/10.1215/00182702-4-2-325
Xiong, W., Yu, J. (2011). The Chinese warrants bubble. American Economic Review, 101(6), 2723-2753. https://doi.org/10.1257/aer.101.6.2723
Zhang, R., Brennan, T. J., Lo, A. W. (2014). The origin of risk aversion. Proceedings of the National Academy of Sciences, 111(50), 17777-17782. https://doi.org/10.1073/pnas.1406755111