1/ In a recent series of papers, I argue that many important behaviors are shaped by neglect of selection bias in social observation.

HT to @Ben_Golub for a fascinating thread about effects of neglect of selection bias.

https://twitter.com/ben_golub/status/1380150221917851648?s=20

2/ In a “call to arms” paper, I argue that neglect of selection bias in social observation is one of the key sources of bias in the transmission of ideas and behaviors.

https://twitter.com/4misceldah/status/1238626741641342977?s=20

1/ There is surprisingly little discussion about seemingly huge (sorry) stock market trading opportunities coming from political disagreement after the election. This possibility is important from both a practical and a scientific perspective. Here's a first take. 2/ Although Left and Right disagree sharply on almost everything, it seems to me that both will be able to agree that stocks are severely mispriced.
The Left and Right, including financial professionals, have very different ideas about how the world works, ...

1/ Is the stock market response to COVID-19 a once-in-a-generation mispricing? Has the pandemic really reduced the fundamental value of the US stock market on the order of 30%?

#coronavirus #covid19 #investing #stockmarket #behavioralfinance #socialecon #socialfinance 2/ I don’t know the answer, but there’s reason for suspicion. Suppose that rapidly-increasing social distancing policies and behaviors continue, along with increased testing and research on treatments.

1/ What do turkeys marching around a dead cat have to do with stock market bubbles?

Starting today, I’ll be summarizing in a series of tweets my Presidential Address to the American Finance Association. I’d love to hear your reactions!

Paper:
ssrn.com/abstract=35508… Social Transmission Bias in Economics and Finance

The paper is about a missing chapter in finance theory:

The *social processes* that shape economic thinking, behavior. I call this new paradigm *social economics and finance*.