Arts
How is financial risk quantified by those within the system, and what are the human factors – gut feelings, hormones and/or emotions – that impact that? From risky lending practices, to packaged financial instruments like mortgage-backed securities no-one really understood, the post-mortem on the financial crisis revealed the degree to which human irrationality, bias and cognitive errors drove the financial decisions of those at the top. Rotman School of Business Professor Dilip Soman sits down with journalist Sheelah Kolhatkar and researcher Dr. John Coates to explore the confluence of economics, psychology and neuroscience that influence human decision-making in a sector whose actions dictate the well-being of the world.