Behavioral finance
2001-08-31 10:28 pm![[personal profile]](https://www.dreamwidth.org/img/silk/identity/user.png){kind=small}
archershipsHistorically, economists have modelled the economiy based on an idealized version of human behavior, the so-called "rational man".
Richard Thaler, an economist at the University of Chicago, is one of pioneers of behavioral finance, the study of the economy based on a more realistic model of human psychology. Thaler has put his (and others) money where his mouth is and started an investment management firm, Fuller and Thaler, based on his theories. So far it appears to be doing pretty well.
Richard Thaler, an economist at the University of Chicago, is one of pioneers of behavioral finance, the study of the economy based on a more realistic model of human psychology. Thaler has put his (and others) money where his mouth is and started an investment management firm, Fuller and Thaler, based on his theories. So far it appears to be doing pretty well.