The Impact of Overconfidence and Attitudes towards Ambiguity on Market Entry
For many people who have started their entrepreneurial adventure, the biggest challenge is to believe in yourself. Yet, for those who choose this path, confidence can also make the entrepreneur underestimate actual business risks, leading to fatal decisions. Researchers of HEC Paris Business School and Bocconi University offer a new explanation for why decision-makers often appear too confident, and shed light on the consequences of this characteristic.
Academic Entrepreneurship: who owns patents and businesses?
Researchers have investigated the effect of the transfer of intellectual property rights from researchers to employing universities, in the USA and in Europe. While the effect of this act is positive in the US (more production and therefore competitiveness), the effect is negative in Europe (fewer creations). Interview with Thomas Astebro, professor of entrepreneurship at HEC Paris.
Scientific research: should negative results be published?
Many call for a systematic publication of scientific negative results in order to make the production of scientific knowledge more efficient. Raphaël Lévy, Assistant Professor in the Economics and Decision Sciences Department, explains why such dissemination of knowledge may actually be beneficial, but also points to potential undesired consequences.
Decision-making: do you need a decision theorist… or a shrink?
Human beings are notoriously bad at making rational decisions. Even theoretical models designed to help you find the “right” answer are limited in their applications. A trio of researchers calls for a re-appraisal of decision theory, arguing that basic tools can improve decision-making by challenging underlying assumptions and uncovering psychological biases.
The Hunt for Better Decisions
What do the choice of a specific technology for the NASA shuttle, choosing a marketing policy, selecting an airport location, assisting AIDS patients in Africa and the production of low-cost goods all have in common? The answer is a discipline called Decision Theory in which HEC Paris has a worldwide reputation for groundbreaking research, particularly in the branch of decisions made in the face of uncertainty. Research Professor Mohammed Abdellaoui has been exploring this complex, multidisciplinary, and little-known discipline for 24 years and is at the heart of its development over the past decade.
Making Sense of Economic Models
Economics is not considered the most successful scientific discipline, to say the least. There are various lines of critique of the field, some more justified than others. Two recent research papers attempt to add new angles to this methodological discussion, arguing that economic models can be useful and serve society in ways that differ from the classical view of science.