Risk Management Symposium
One of the most interesting developments of economic and financial research in the new millennium is the recognition that people do not -cannot- make decisions that exactly replicate those of a rational calculator. Rules of thumb, framing, and similar strategies, ostensibly at odds with strict maximization, are actually pervasive in our everyday lives. Research into the use of these strategies, now known as behavioral economics and behavioral finance, while several decades old, has mushroomed over the past decade or so. This research has important implications for risk and its management, and so we are pleased that the theme of Penn State's 2013 Risk Management Symposium is Behavioral Risk Management.