Showing 1 - 10 of 708
In this paper, we specify a dynamic programming model that addresses the interplay among health, financial resources … used self reported health or disability status as a proxy for health status, we model health as a latent variable, using … is estimated using data from the Health and Retirement Study. We compare results based on our model to results based on …
Persistent link: https://www.econbiz.de/10012759651
errors in decision making are inevitable. Moreover, under the appropriate conditions, these decisions are random conditional … situations than would be possible with randomized control trials. This point is illustrated with data from medical decision …
Persistent link: https://www.econbiz.de/10012995971
We examine how machine learning can be used to improve and understand human decision-making. In particular, we focus on … a decision that has important policy consequences. Millions of times each year, judges must decide where defendants will … await trial—at home or in jail. By law, this decision hinges on the judge's prediction of what the defendant would do if …
Persistent link: https://www.econbiz.de/10012962719
Recent work suggests that women are more responsive to negative feedback than men in certain environments. We examine whether negative feedback in the form of relatively low grades in major-related classes explains gender differences in the final majors undergraduates choose. We use unique...
Persistent link: https://www.econbiz.de/10012948916
In this paper, we ask how bankruptcy law affects the financial decisions of corporations and its implications for firm dynamics. According to current U.S. law, firms have two bankruptcy options: Chapter 7 liquidation and Chapter 11 reorganization. Using Compustat data, we first document capital...
Persistent link: https://www.econbiz.de/10012953996
We document that prior portfolio choices influence investors' expectations about asset values, and their future choices. We find that people update more from information consistent with their prior choices, leading to sticky portfolios over time. These effects are related to how the brain's...
Persistent link: https://www.econbiz.de/10012955454
We survey a representative sample of U.S. individuals about how well leading academic theories describe their financial beliefs and decisions. We find substantial support for many factors hypothesized to affect portfolio equity share, particularly background risk, investment horizon, rare...
Persistent link: https://www.econbiz.de/10012911457
doctor's decisions violate loose professional guidelines. We introduce a behavioral model of decision making guided by our …
Persistent link: https://www.econbiz.de/10012911700
In line with the fallacy of riskification of uncertainty by which decision makers believe that the effects of … business continuity. Taken together, this article offers the foundation for a behaviorally plausible, decision …-centered perspective on organizational decision-making under uncertainty …
Persistent link: https://www.econbiz.de/10012912518
-consistent expectations. This implicitly assumes unrealistic cognitive abilities on the part of economic decision makers. The relevant … question, however, is not whether the assumption can be literally correct, but how much it would matter to model decision … problems such as chess or go, in which decision makers look ahead only a finite distance into the future, and use a value …
Persistent link: https://www.econbiz.de/10012917036