We empirically compare the consistency among several measures of risk-taking and patience by evaluating how these variables relate to financial decisions. The variables are based on a sample of more than 700 individuals across 9 countries. The main finding is that self-reported, simple questions...

This study investigates the perceived and actual trustworthiness of female managers when using rhetoric to advertise their trustworthiness in public disclosure documents. We find that the stock market reacts more favorably to trust rhetoric if the document has been prepared under the...

Our paper explores the role of time preferences on household debt maturity choice. Wefind that in countries where people are more patient in the long term, planning horizons in householddebt portfolios are significantly longer, as the optimal maturity of loans is considerably higher.The...

This article jointly analyses a behavioural and a cultural concept to explain household debt portfolio choice. The behavioural approach explores the role of time preferences on household debt maturity in a theoretical model and a numerical analysis. We derive a positive relationship between the...

Despite a considerable premium on equity with respect to risk-free assets, many households do not own stocks. We ask why the prevalence of stockholding is so limited. We focus on individuals' attitudes toward risk and identify relevant factors that affect the willingness to take financial risks....

This paper investigates whether managerial rhetoric in the Management Discussion & Analysis section of 10-K filings can help gauge the level of managerial opportunism in a firm. We find that the use of trust-related words is connected to inefficient investment decisions and poor operating...

In a series of cross-country comparisons, we show that national culture is statistically significant in differentiating countries with different corporate governance systems. Using the Schwartz cultural value model and data on corporate governance systems, we analyze the impact of national...