Title: History, Application, and Outlook of Behavioral Finance
|Date:||March 30, 2012|
|Length:||8 / 2194|
|No of views:||0|
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The Theory of Moral Sentiments, Smith's first and in his own mind most important work, outlines his view of proper conduct and the institutions and sentiments that make men virtuous (Smith, 2000) Here he develops his doctrine of the impartial spectator, whose hypothetical disinterested judgment we must use to distinguish right from wrong in any given situation (Smith, 2000)...
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Smith believed people by nature pursue their own self-interest. This makes independence or self-command an instinctive good. And neutral rules are as difficult to craft as they are necessary.
But society is not held together merely by neutral rules, instead society is held together by sympathy (Smith, 2000)...
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