An Interdisciplinary Approach To The Impact of Emotions On Financial Decision Making

This is my favorite research paper of the week.

Why? Because, this paper is very multidisciplinary and explains  how psychology, cognitive science, neuroeconomics, and behavioral finance, impact financial decision making.

Click Here To Read An Interdisciplinary Approach To How Emotions Impact Financial Decision Making

Abstract (Via SSRN)
The paper explores the influences of emotions on human decision making, especially in context of finance. It reviews the psychological, neuroscientific and neuroeconomic evidence about the topic and shows which applications these insights have found in behavioral finance and the new subject of neurofinance. Several descriptive and formal approaches are introduced and their usefulness is discussed.

Topics Covered (Via SSRN)

1. Rationality & Its Economic Implementation

2. Emotions, Their Meaning, Function & Impact

*The neglect of emotions in economic theory

3. Psychology & Cognitive Science

4. Brain Science & Neuro Economics

5. What Does Finance Make Of These Findings

Click Here To Read An Interdisciplinary Approach To How Emotions Impact Financial Decision Making