Decision Utility and Anticipated Discrete Emotions: An Investment Decision Model

Abstract

Integrating theories and findings from various disciplines, we develop a decision utility model to explain how anticipated discrete emotions mediate investment decisions. We illustrate the model with the anticipated discrete emotions of a hypothetical Ponzi scheme investor and suggest practical measures to manage financial risks, emotionally.

Keywords:

• Investment decision
• Decision utility
• Anticipated discrete emotions

Note

Notes

1. Quoted in Gleicher et al. [1995].