Search results for "behavioral bias"
showing 2 items of 2 documents
A new rationale for not picking low hanging fruits: The separation of ownership and control
2019
Recent attempts at explaining the energy-efficiency gap rely on considerations related to organizational and behavioral/cognitive failures. In this paper, we build on the strategic delegation literature to advance a complementary explanation. It is shown that strategic market interaction may encourage business owners to instill a bias against energy efficiency in managerial compensation contracts. Since managers respond to financial incentives, their decisions will reflect this bias, resulting in lack of investment.
Droit et gouvernance:l'apport du courant comportemental
2010
Under the dominant approach to corporate governance, the role of law is to help reduce the impact of conflicts of interest and intentional strategic behavior of the different actors, including managers. The managers' decisions that are detrimental to shareholders and other stakeholders do not all have their origin in an intentional behavior. Some of them result of misjudgment, cognitive and behavioral biases. Based on Behavioral Law and Economics, which has expanded greatly in the United States, the objective of the paper is to show that the role of law within the corporate governance system is also to contribute to "debias" managerial decisions or correct any adverse effects of these biase…