Abstract
Nowadays there is a concern in everyone’s mind regarding the changes that are going to happen very soon or we can say the changes that are already happening in today’s world. Yes, I am talking about the 4th industrial revolution that is going to take place very soon due to which many new jobs will be created whereas, on the other hand many existing jobs will get disappeared. Everyone is talking about Artificial Intelligence and its pros and cons but we wanted to think in other aspects too regarding artificial intelligence. So, in this research paper, we put the spotlight on Application of Artificial Intelligence on Behavioral Finance. By this we not only get to know about artificial intelligence and its merits and demerits but also, get to know about its applications on behavioral finance.
In this paper we tried to explain the meaning of artificial intelligence as well as its advantages and disadvantages and thereafter, the meaning of behavioral finance is considered so as to put clarity over the topic. Artificial intelligence is also known as machine learning as it is related to work which is going to be done by the machines rather than manually by human beings.
Further, we included the interaction of behavioral finance and artificial intelligence (AI) in the future when AI will be full-fledged used for the working and its working for the economy and future developments. With the use of artificial intelligence in behavioral finance, the outcomes will be more accurate as with the use of machines the psychological biasness can be reduced and accuracy will be increased. This paper helps to understand the working of artificial intelligence with behavioral finance and its applications so as to get ready for the future beforehand.
This is a preview of subscription content, log in via an institution to check access.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
Geetha, S.N., Vimala, K.: Study on artificial intelligence and investment decision. Rev. Psychol. Front. 1, 14–18 (2012)
Divya, A.J.: Classification of big data through artificial intelligence. Int. J. Comput. Sci. Mob. Comput. 4(8), 17–25 (2015)
Russell, S., Dewey, D.: Research priorities for robust and beneficial artificial intelligence. In: Association for the Advancement of Artificial Intelligence (2015)
Vempati, S.S.: India and the artificial intelligence revolution (2016)
Kashiwagi, R.: Utilization of artificial intelligence in finance, p. 227, November 2015
Bentley, P.J., Brundage, M.: Should we fear artificial intelligence? March 2018
Hammond, R.C.: Behavioral finance: its history and its future, p. 30 (2015)
Smith, C., McGuire, B.: The history of artificial intelligence, December 2006
Camerer, C.F.: Artificial intelligence and behavioral economics (2017)
Barbara, J., Grosz, C.R.: Artificial intelligence and life in 2030. Report of the 2015 Study Panel, Stanford University, September 2016
Kowalski, R.: Artificial intelligence and human thinking. In: Twenty-Second International Joint Conference on Artificial Intelligence. Imperial College London, London (n.d.)
Chella, A., Ignazio, I.: Artificial Intelligence and Robotics, January 2006
Chen, T.-C., Lai, M.-Y.: Are investors rational? Evidence on the impact of industrial framing reclassification on stock market reaction. J. Behav. Financ. 14, 1–8 (2013). https://doi.org/10.1080/15427560.2012.736001
Shiller, R.J.: From efficient markets theory to behavioral finance. J. Econ. Perspect. 17, 83–104 (2003). https://doi.org/10.2307/3216841
Doviak, P.: How to incorporate behavioral finance theory into a planning practice. J. Financ. Plan. 28, 30–32 (2015). https://seu.idm.oclc.org/login?url=http://search.ebscohost.com/login.aspx?direct=true&db=buh&AN=101317838&site=ehostlive&scope=site
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2020 Springer Nature Switzerland AG
About this paper
Cite this paper
Singh, G., Garg, V., Tiwari, P. (2020). Application of Artificial Intelligence on Behavioral Finance. In: Castillo, O., Jana, D., Giri, D., Ahmed, A. (eds) Recent Advances in Intelligent Information Systems and Applied Mathematics. ICITAM 2019. Studies in Computational Intelligence, vol 863. Springer, Cham. https://doi.org/10.1007/978-3-030-34152-7_26
Download citation
DOI: https://doi.org/10.1007/978-3-030-34152-7_26
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-030-34151-0
Online ISBN: 978-3-030-34152-7
eBook Packages: Intelligent Technologies and RoboticsIntelligent Technologies and Robotics (R0)