Advanced Introduction to Behavioral Finance

Elgar Advanced Introductions series

H. Kent Baker, University Professor of Finance, Kogod School of Business, American University, John R. Nofsinger, Dean and William H. Seward Chair in International Finance, College of Business and Public Policy, University of Alaska, Anchorage and Victor Ricciardi, Instructor of Finance, College of Business, Tennessee Tech University, US

Through detailed discussion of the central principles of behavioral finance, this enlightening Advanced Introduction provides a balanced exploration of the broad issues within the field. Chapters explain the continuous development of the discipline and provide a useful differentiation between behavioral finance and standard finance.

‘Baker, Nofsinger, and Ricciardi, three exceptional finance scholars, have provided an excellent volume discussing and analysing the development of behavioural finance in the context of the traditional simple and simplistic finance modelling. They reveal the fundamental flaws of this approach and how behavioural finance, based on realistic modelling assumptions, yields more robust predictions and causal analyses. An important and informative read.’
– Morris Altman, University of Dundee, UK

‘This volume provides a thoroughly up to date and beautifully structured overview of what is by now a coherent body of thought. It would serve as an excellent upper level course companion or as a stand alone reference.’
– Brian Lucey, Trinity College Dublin, Ireland

'Advanced Introduction to Behavioral Finance is an elegant, readable addition to the behavioral finance literature that thoroughly covers foundational topics like heuristics in addition to shining a light on topics like biology and behavioral corporate finance that have historically gone overlooked. A must-read for serious students of BeFi.'
– Daniel Crosby, Chief Behavioral Officer, Orion, US