Optimism bias and positive attention bias have important highly similar implications for mental health but have only been examined in isolation. Investigating the causal relationships between these biases can improve the understanding of their underlying cognitive mechanisms, leading to new directions in neurocognitive research and revealing important information about normal functioning as wel...

The security market line (SML) accords with the capital asset pricing model (CAPM) by taking on an upward slope in pessimistic sentiment periods, but is downward sloping during optimistic periods. We hypothesize that this finding obtains because periods of optimism attract equity investment by unsophisticated, overconfident, traders in risky opportunities (high beta stocks), while such traders ...

This paper studies the properties and determinants of managers’ multi-year financial forecasts. We ask whether, by how much, and why biases in managers’ forecasts of revenues, expenses and profits depend on the forecasting horizon and the verifiability of firms’ assets. Since public companies rarely divulge their internal multi-year financial projections to outsiders, we use the oneto five-year...

Much of the literature on message logging and checkpointing in the past decade has been based on a so-called optimistic approach 1] that places more emphasis on failure-free overhead than recovery ee-ciency. Our experience has shown that most telecommunications systems use a pessimistic approach because the main purpose of using message logging and checkpointing is to achieve fast and localized...