Call for Papers

Overview:

Traditionally, financial economists have based their analysis of financial contracting on the assumption that agents are fully rational, emotionless, self-interested maximizers of expected utility (the homo economicus assumption). Behavioural economists are increasingly recognizing that financial decision makers may be subject to psychological biases, and the effects of emotions (the homo sapiens view). An interesting area of research examines the implications of assuming that agents are not completely self-interested, but that they also consider the impact of their actions on the payoffs of others. In this meeting, we will consider the effects of fairness, trust, empathy, fellow-feeling, and emotional reactions on financial contracting, incentives and performance.

We seek contributions from areas which include while not being limited to the following issues:

• decision-making at the corporate level (for example, the effect of emotions, trust, and empathy on the FDI decision and on capital budgeting),
• decision making at the start-up level (the effect of fairness, trust and empathy on venture capitalist/entrepreneurial financial contracting, incentives and performance),
• decision making at the investor level (investors’ trust in corporate managers).

We invite you to submit extended abstracts, papers-in-progress or full papers by the deadline of May 21st 2010.

The organisers will come back with a decision within three weeks after this deadline.To submit a paper for consideration please email a PDF version of the paper to Behavioural-Finance@city.ac.uk

Papers chosen for submission will, at the author’s request, be considered for publication for a Special Issue of the International Journal of Behavioural Accounting and Finance