Send us a Text Message.

Behavioral Finance Explains: Why Americans Misunderstand the Economy

In this episode of the Bryan Foltice Behavioral Finance Podcast, Dr. Bryan Foltice discusses a U.S. survey revealing widespread economic misconceptions among Americans. Key findings show that many Americans believe the economy is shrinking, the stock market is down, and unemployment is at a high, contrary to actual data showing economic growth, stock market highs, and low unemployment rates.

Foltice explores the reasons behind these misconceptions, including a lack of stock market participation and the impact of confirmation bias, and emphasizes the potential political motivations behind misinformation. He also raises concerns about future economic and real estate market stability given the high percentage of people living paycheck to paycheck.

00:00 Introduction to the Podcast
01:27 Survey Findings on American Economic Perceptions
03:09 Disconnection Between Perception and Reality
05:45 Living Paycheck to Paycheck in America
08:29 Impact of Inflation and Interest Rates
11:09 Concerns About Unemployment and Future Recession
14:22 Conclusion and Final Thoughts

Support the Show.

Bryan Foltice Behavioral Finance Website - www.bryanfoltice.com
Instagram - www.instagram.com/bryanfoltice
Linkedin - https://www.linkedin.com/in/bryan-foltice-2578a116/
Disclaimer: www.bryanfoltice.com/cv

Send us a Text Message.

Retiring Early: Is the FIRE Community the Right Path?

In this episode of the Bryan Foltice Behavioral Finance Podcast, Dr. Bryan Foltice delves into the FIRE (Financial Independence, Retire Early) movement. He discusses the key principles behind FIRE, including the idea of saving up to 70% of annual income to retire early and live off small withdrawals.

Dr. Foltice evaluates the merits and challenges of the FIRE lifestyle, emphasizing the importance of having a purpose in both one's career and retirement. He addresses the potential pitfalls of extreme frugality and explores the balance between enjoying the present and saving for the future. Listeners are encouraged to find their own path to financial independence while maintaining a fulfilling and purposeful life.

00:00 Introduction to the Podcast
00:24 Understanding the FIRE Movement
01:52 Pros and Cons of the FIRE Lifestyle
05:30 Challenges Faced by Law Enforcement
08:43 Balancing Financial Goals and Life Purpose
11:57 Personal Insights and Financial Strategies
14:37 Conclusion and Final Thoughts

Support the Show.

Bryan Foltice Behavioral Finance Website - www.bryanfoltice.com
Instagram - www.instagram.com/bryanfoltice
Linkedin - https://www.linkedin.com/in/bryan-foltice-2578a116/
Disclaimer: www.bryanfoltice.com/cv

Send us a Text Message.

In this episode of the Brtan Foltice Behavioral Finance Podcast, Dr. Brtan Foltice delves into the intriguing world of meme stocks, such as GameStop and AMC Entertainment, and their impact on investor behavior.
He introduces key concepts of behavioral finance including noise trader risk and the Greater Fool Theory, explaining how these factors drive the stock prices far beyond their fundamental value. Bryan demonstrates how meme stock phenomena bring to light irrational aspects of investor behavior, fueled by social media influences and group dynamics rather than financial fundamentals.
He also shares insights from his experiences teaching corporate finance, emphasizing the learning curve and sophistication investors gain through these market anomalies. The episode concludes with an encouragement for listeners to delve deeper into behavioral finance, suggesting it as an elective for finance majors and teasing an upcoming course package on the subject.

00:00 Introduction to Behavioral Finance and Meme Stocks

01:21 Summer Teaching and Transition to Online Classes

03:10 Diving Deep into Meme Stocks Phenomenon

07:38 Behavioral Finance Theories in Action: Noise Trader Risk and Greater Fool Theory

15:57 Learning from the Meme Stock Frenzy: A Shift in Investor Behavior

18:26 Wrapping Up

Support the Show.

Bryan Foltice Behavioral Finance Website - www.bryanfoltice.com
Instagram - www.instagram.com/bryanfoltice
Linkedin - https://www.linkedin.com/in/bryan-foltice-2578a116/
Disclaimer: www.bryanfoltice.com/cv