Results 21 to 30 of about 102 (84)

The Relationship between Financial Literacy Misestimation and Misplacement from the Perspective of Inverse Differential Information and Stock Market Participation

International Journal of Financial Studies
This study proposes the inverse differential information theory, which predicts a positive relationship between misestimation and misplacement, two types of overconfidence. The inverse differential information theory contrasts with the existing theory of
Yun-Ho Lee, Weihua Ma
doaj   +1 more source

A tale of two biases: Unpacking the relationship of overestimation and overprecision on firm performance

Strategic Management Journal, Volume 47, Issue 1, Page 107-140, January 2026.
Abstract Research Summary Overconfidence is widely known to influence firm decision‐making. Yet there remains confusion regarding the concept because it comprises three key aspects: overplacement, overestimation, and overprecision. Using archival data, we employ a firm‐level overconfidence construct to simultaneously analyze the impacts of both ...
Wayne G. Borchardt, Dan P. Lovallo, Mikael Samuelsson, Ayrton da Silva   +3 more
wiley   +1 more source

Inventory Financing with Overconfident Supplier Based on Supply Chain Contract

Mathematical Problems in Engineering, Volume 2018, Issue 1, 2018., 2018
Overconfidence is a universal psychological behavior. Overconfidence on demand awareness will have a significant impact on operation decisions. The supplier estimated the demand with excessive precision which influences the inventory financing decision‐making deeply. We built the demand function based on the supplier’s overconfidence.
Weifan Jiang, Jian Liu, Yakov Strelniker
wiley   +1 more source

The Discouraging Effect of Overconfidence

Southern Economic Journal, Volume 92, Issue 3, Page 716-727, January 2026.
ABSTRACT Overconfidence is often viewed as encouraging entrepreneurs and CEOs to follow risky strategies such as entering new markets, engaging in innovation, or pursuing mergers and acquisitions. While such undertakings can generate excess returns and profits, overconfidence is frequently offered as an explanation for why so many business ventures ...
Cary Deck, Klajdi Bregu
wiley   +1 more source

Construction and validation of an overconfidence scale in investment decisions

Future Business Journal
Existing studies that directly measure the three types of overconfidence—overprecision, overplacement, and overestimation—are largely exploratory, highlighting the need for further confirmatory research to establish robust overconfidence measures ...
Daniel Fonseca Costa, Cláudia Cardoso Soares, Bruno César de Melo Moreira, Adriano Olímpio Tonelli   +3 more
doaj   +1 more source

Confidence and information usage: Evidence from soil testing in India 

American Journal of Agricultural Economics, Volume 107, Issue 5, Page 1406-1437, October 2025.
Abstract Informational barriers are often considered to be a major constraint to the adoption of improved farming practices, inputs, and technologies by smallholder farmers. In the Indian context, it is widely believed that farmers misapply chemical fertilizers because they lack scientific information on soil conditions and corresponding fertilizer ...
Jared Gars, Ram Fishman, Avinash Kishore, Yoav Rothler, Patrick S. Ward   +4 more
wiley   +1 more source

The Role of Monetary Incentives and Feedback on How Well Students Calibrate Their Academic Performance

European Journal of Education, Volume 60, Issue 3, September 2025.
ABSTRACT Students' accurate monitoring of their own performance is essential for achieving successful learning processes. In this work, we have aimed at analysing the role played by monetary incentives and by metacognitive feedback in improving students' miscalibration of their academic performance.
Gerardo Sabater‐Grande, Noemí Herranz‐Zarzoso, Aurora García‐Gallego   +2 more
wiley   +1 more source

Earn More Tomorrow: Overconfidence, Income Expectations, and Consumer Indebtedness

Journal of Money, Credit and Banking, Volume 57, Issue 5, Page 1071-1102, August 2025.
Abstract This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt taking. We show suggestive evidence for a link between overconfidence and borrowing behavior in a representative survey of German households (German Socio‐Economic Panel–Innovation Sample [GSOEP‐IS]).
ANTONIA GROHMANN, LUKAS MENKHOFF, CHRISTOPH MERKLE, RENKE SCHMACKER   +3 more
wiley   +1 more source

Self‐serving attribution and managerial investment decision

Bulletin of Economic Research, Volume 76, Issue 3, Page 749-772, July 2024.
Abstract This study examines whether managerial overconfidence coupled with self‐attribution bias distorts the investment decisions of firms. To this end, we investigate the impact of overconfidence on asymmetric investment cash flow sensitivity (ICS).
Chune Young Chung, Changhwan Choi, Amirhossein Fard   +2 more
wiley   +1 more source