Barry Ritholtz is the CIO of Ritholtz Wealth Management and the host of the Bloomberg podcast Masters in Business, where he talks almost as much about markets, investing and business as he does about the behavioral science behind WHY we do what we do. Our first conversation appears in the ever-popular Episode 47.

This week, we discussed the financial implications of the financial crisis resulting from the pandemic. It’s not, as Barry notes quite clearly, a one hundred year flood. The market is reacting the way it normally does. While the shifts are dramatic, they were unforeseen and will – over time – return to more stable growth.

We also talked about the impact the crisis will have on supply chains, the availability of durable and consumer goods, the way bailouts should be structured, and how important it is to not lie to ourselves in times like these. All of this discussion of finance, as you may imagine, is through a behavioral lens. 

© 2020 Behavioral Grooves

Connect with Kurt and Tim:

Kurt Nelson, PhD: @WhatMotivates  e-mail: kurt@lanterngroup.com

Tim Houlihan: @THoulihan  e-mail: tim@behavioralchemy.com

Lantern Group: http://lanterngroup.com/

BehaviorAlchemy: https://www.behavioralchemy.com/

Behavioral Grooves: https://behavioralgrooves.com/

Weekly Grooves: https://weeklygrooves.podbean.com/

Common Biases & Heuristics: https://docs.google.com/document/d/1XHpBr0VFcaT8wIUpr-9zMIb79dFMgOVFRxIZRybiftI/edit#

General Coronavirus Info:

Daily Newsletter Summarizing data from Johns Hopkins Center for Health Security: http://www.centerforhealthsecurity.org/newsroom/newsletters/e-newsletter-sign-up.html

CDC: https://www.cdc.gov/coronavirus/2019-ncov/index.html

Great videos on the science behind this by Dr. Peter Attia – this is the first in a series: https://www.youtube.com/watch?v=CNVhLyAlfA4

What is herd immunity? https://www.technologyreview.com/s/615375/what-is-herd-immunity-and-can-it-stop-the-coronavirus/

Coronavirus & Behavioral Science:

Selected Links: The Behavioral Sice of Coronavirus: https://behavioralscientist.org/selected-links-the-behavioral-science-of-the-coronavirus-covid-19/

Why no one is reading your coronavirus email:  https://edition.cnn.com/2020/03/13/opinions/coronavirus-emails-effective-messaging-rogers/index.html

Handwashing can stop a virus, so why don’t we do it?:  https://behavioralscientist.org/handwashing-can-stop-a-virus-so-why-dont-we-do-it-coronavirus-covid-19/

The behavioral science of handwashing: https://think.ing.com/articles/the-behavioural-science-of-hand-washing/

How we can cope or be better during this crisis:

Tip Sheet from HUMU: https://humu.com/remote-nudges/

Resources for learning at home: https://fordhaminstitute.org/national/commentary/resources-learning-home-during-covid-19-school-closures?utm_source=join1440&utm_medium=email&utm_placement=etcetera

General Behavioral Science and other info related or talked about in the series:

Common Biases and Heuristics: https://docs.google.com/document/d/1XHpBr0VFcaT8wIUpr-9zMIb79dFMgOVFRxIZRybiftI/edit#

Jonathan Haidt – 5 Moral Foundations: https://en.wikipedia.org/wiki/Moral_foundations_theory

Jürgen Klopp: https://ftw.usatoday.com/2020/03/jurgen-klopp-goes-off-on-reporter-after-being-asked-about-coronavirus-again

UBI (Universal Basic Income): https://en.wikipedia.org/wiki/Basic_income

7-Minute Workout: https://www.youtube.com/watch?v=ECxYJcnvyMw

4 Drive Model: https://www.leadersbeacon.com/how-great-leaders-use-the-4-drive-model-to-impact-employee-motivation/

Universal Basic Income: https://behavioralscientist.org/checkscheckschecks-why-we-need-a-universal-basic-income-now-coronavirus/

Why we are not going back to normal: https://www.technologyreview.com/s/615370/coronavirus-pandemic-social-distancing-18-months/