CONTENTS
Preface xi
Richard H. Thaler
Acknowledgments xix
List of Abbreviations xxiii
Chapter1 A Survey of Behavioral Finance 1
Nicholas Barberis and Richard H. Thaler
Part I Limits to Arbitrage
Chapter 2 The Limits of Arbitrage 79
Andrei Shleifer and Robert W. Vishny
Chapter 3 How Are Stock Prices Affected by the Location of
Trade? 102
Kenneth A. Froot and Emil M. Dabora
Chapter 4 Can the Market Add and Subtract? Mispricing in Tech
Stock Carve-outs 130
Owen A. Lamont and Richard H. Thaler
Part II Stock Returns and the
Equity Premium
Chapter5 Valuation Ratios and the Long-run Stock Market
Outlook: An Update 173
John Y. Campbell and Robert J. Shiller
Chapter 6 Myopic Loss Aversion and the Equity
Premium Puzzle 202
Shlomo Benartzi and Richard H. Thaler
Chapter 7 Prospect Theory and Asset Prices 224
Nicholas Barberis, Ming Huang, and Tano Santos