Saturday, October 4, 2008

New behavioral finance section. Welcome!

We are seeing trying times for stock markets. Many are saying that the current crisis is a crisis of confidence and not an actual economic crisis. Whether that is true or not, an intriguing question is: how does human psychology and behavior affect the financial markets and the economy?

I will be starting a new section on exciting insights from behavioral finance that have emerged over the past few years. The contributions will be written by my brother who has interests in behavior, biology and development, and who is currently pursuing a PhD at the Harvard University.

Do stock names really influence market performance? Can babies move your dollar value? Are we all just irrational?

Stay tuned to find out!

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