As a small business owner, it's vital to establish a work culture in which your employees feel valued and acknowledged. The traditional authoritarian approach to leadership no longer yields the kind ...

This post is in response to Anxiety and Depression Are Symptoms, Not Diseases By Gregg Henriques Ph.D. Given that many readers found my claims about the nature of depression controversial (here and ...

Behavioral Economics is the application of psychology to the field of economics. It describes the role that psychology plays among consumers, employers, and governments, which then impacts markets and ...

Leadership theories debate what makes a good leader. Over the years, many schools of thought have developed that give different explanations about where leaders come from and how they can be ...

Prospect theory [1, 2, 3] has perhaps been one of the most influential theories within psychology and behavioral economics. Daniel Kahneman won the Nobel prize for this work. Prospect theory and ...

When thinking about a firm’s financing and investment decisions, rational executives are guided by a belief in the efficiency of markets. But what if markets aren’t always as efficient as we believe ...

When it comes to financial affairs, there are two schools of thought: Traditional financial theory and behavioral finance. Traditional financial theory assumes that people make decisions by gathering ...

Operant conditioning, sometimes called instrumental conditioning or Skinnerian conditioning, is a method of learning that uses rewards and punishment to modify behavior. Through operant conditioning, ...

Behavioral economics helps investors understand irrational market behaviors and customer choices. Examples of behavioral economic theories include loss aversion and sunk-cost fallacy. Recognizing ...