Modern financial markets offer the real world's best approximation to the idealized price auction market envisioned in economic theory. Nevertheless, as the increasingly exquisite and detailed financial data demonstrate, financial markets often fail to behave as they should if trading were truly dominated by the fully rational investors that populate financial theories. These markets anomalies have spawned a new approach to finance, one which as editor Richard Thaler puts it, "entertains the possibility that some agents in the economy behave less than fully rationally some of the time." Advances in Behavioral Finance collects together twenty-one recent articles that illustrate the power of this approach. These papers demonstrate how specific departures from fully rational decision making by individual market agents can provide explanations of otherwise puzzling market phenomena. To take several examples, Werner De Bondt and Thaler find an explanation for superior price performance of firms with poor recent earnings histories in the tendencies of investors to overreact to recent information. Richard Roll traces the negative effects of corporate takeovers on the stock prices of the acquiring firms to the overconfidence of managers, who fail to recognize the contributions of chance to their past successes. Andrei Shleifer and Robert Vishny show how the difficulty of establishing a reliable reputation for correctly assessing the value of long term capital projects can lead investment analysis, and hence corporate managers, to focus myopically on short term returns. As a testing ground for assessing the empirical accuracy of behavioral theories, the successful studies in this landmark collection reach beyond the world of finance to suggest, very powerfully, the importance of pursuing behavioral approaches to other areas of economic life. Advances in Behavioral Finance is a solid beachhead for behavioral work in the financial arena and a clear promise of wider application for behavioral economics in the future.
This book was written for anyone who wants to be free from the tyranny of stress and burnout. Burnout can affect anyone, especially in today’s world, where “The American Dream” has been replaced by the realities of a faltering economy, breakdown of the family and societal distintegration. Burnout is not a natural state, and no one should have to live with its emotional pain. Dr. Fishkin explains how to readjust couterproductive thought processes and behaviors and learn new, healthy methods for coping. He details both self-help techniques and suggested resources to reach out to the community or the workplace for assistance.
Educational and psychological tests are often used in ways which touch most intimately the lives of people. For example, tests may influence who gets a job or who is selected to attend a college or graduate school. But not everyone has agreed that tests are a good thing. Over the past twenty years a wave of complaints has led to congressional hearings, court cases, and formal grievances before state and federal commissions. Holmen and Docter have analyzed these complaints and criticisms not only by considering the tests themselves but through examining the ways tests are used as elements in assessment systems. The applications of tests in clinical and counseling work, in educational achievement testing, and in personnel selection is discussed and evaluated. While the least amount of testing is in the personnel selections area, this is where the most complaints are found. Educational achievement testing has by far the largest testing programs and a wide range of criticisms has been voiced concerning this kind of assessment. Testing in connection with clinical and counseling work has generated the least public concern. An extensive analysis is given of the organizations which comprise the testing industry, including the various developers and publishers of tests and also test scoring organizations. The users of tests are considered from the standpoint of their professional training and also in terms of how their organizations influence technical standards of test development.
In recent years, increasing concern has been voiced about the nature and extent of human experimentation and its impact on the investigator, subject, science, and society. This casebook represents the first attempt to provide comprehensive materials for studying the human experimentation process. Through case studies from medicine, biology, psychology, sociology, and law—as well as evaluative materials from many other disciplines—Dr. Katz examines the problems raised by human experimentation from the vantage points of each of its major participants—investigator, subject, professions, and state. He analyzes what kinds of authority should be delegated to these participants in the formulation, administration, and review of the human experimentation process. Alternative proposals, from allowing investigators a completely free hand to imposing centralized governmental control, are examined from both theoretical and practical perspectives. The conceptual framework of Experimentation with Human Beings is designed to facilitate not only the analysis of such concepts as "harm," "benefit," and "informed consent," but also the exploration of the problems raised by man's quest for knowledge and mastery, his willingness to risk human life, and his readiness to delegate authority to professionals and rely on their judgment.
Firefighter and Paramedic Burnout was the first comprehensive book dealing with the recognition and treatment of burnout among firefighter and paramedic personnel. Today, this standard still serves to provide readers with a system of identification of early warning signs of excessive stress, its personal and social consequences, and interventions that have been proven to assist firefighters and their family members to return to a state of health and productivity.
We humans are difficult animals. We are the source of environmental degradation, the culprits of resource decline. We are reluctant to trust and easily angered. However, we are also the source of inspiration, compassion, and creative solutions. What brings out the reasonable side of our capacity? The Reasonable Person Model (RPM) offers a simple framework for considering essential ingredients in how people, at their best, deal with one another and the resources on which we all rely. RPM is a hopeful and engaging framework that helps us understand and address a wide diversity of issues. The 20 chapters of Fostering Reasonableness provide the conceptual foundations of the framework and applications examining contexts as diverse as a region, organization, the classroom, finding common ground in resource planning, education in the prison environment, greening in the inner city. Our collective hope in putting the book together is to encourage a way of seeing, a way of understanding and examining circumstances that might lead to more wholesome, adaptive, and effective means of addressing the big and little issues that depend on humanity’s reasonableness.
Dan Simon Harvard University Press, 2012 Library of Congress HV7419.S57 2012 | Dewey Decimal 364.019
Criminal justice is unavoidably human. Detectives, witnesses, suspects, and victims shape investigations; prosecutors, defense attorneys, jurors, and judges affect the outcome of adjudication. Simon shows how flawed investigations produce erroneous evidence and why well-meaning juries send innocent people to prison and set the guilty free.
Police Burnout is the synthesis of Dr. Fishkin’s sixteen years experience as a police psychologist, and is a must read for all police officers, family members, police and public safety administrators, as well as mental health specialists who work in the area of law enforcement. It is a modern classic in the field of police psychology.
Considers how Americans define the quality of their life experiences, as expressed in their perceptions, evaluations, and satisfactions. Based on research conducted by the Institute for Social Research at the University of Michigan, the book uses data which are representative of the national population eighteen years of age and older, and employs the major social characteristics of class, age, education, and income. The authors cover such topics as the residential environment, the experience of work, marriage, and family life, and personal resources and competence. They also report on the situation of women and the quality of the life experience of black people.
Quasi Rational Economics
Richard H. Thaler Russell Sage Foundation, 1991 Library of Congress HB171.T47 1991 | Dewey Decimal 330
Standard economics theory is built on the assumption that human beings act rationally in their own self interest. But if rationality is such a reliable factor, why do economic models so often fail to predict market behavior accurately? According to Richard Thaler, the shortcomings of the standard approach arise from its failure to take into account systematic mental biases that color all human judgments and decisions.