How can you relate the concepts of make financial decisions

Reference no: EM133300785

Question 1: Think about the financial theory. Can you relate any of the concepts to how others make financial decisions?

Question 2: Some interesting relationships to explore might be System 1 vs. System 2, loss version, prospect theory more generally, the value/cost of investment information, various biases, and heuristics, etc. How do these relate to concepts like risk/return optimization, stock valuation, the equity premium or volatility puzzles, or just financial decision-making in general?

Reference no: EM133300785

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