Faculty AI Research

Among both laypersons and researchers, extensive use of first-person singular pronouns (i.e., I-talk) is considered a face-valid linguistic marker of narcissism. However, the assumed relation between narcissism and I-talk has yet to be subjected to a strong empirical test.

We consider a non-stationary variant of a sequential stochastic optimization problem, where the underlying cost functions may change along the horizon. We propose a measure, termed variation budget, that controls the extent of said change, and study how restrictions on this budget impact achievable performance. We identify sharp conditions under which it is possible to achieve long- run-average optimality and more refined performance measures such as rate optimality that fully characterize the complexity of such problems.

Eight studies found a robust negative relationship between the experience of power and the experience of loneliness. Dispositional power and loneliness were negatively correlated (Study 1). Experimental inductions established causality: we manipulated high versus low power through autobiographical essays, assignment to positions, or control over resources, and found that each manipulation showed that high versus low power decreased loneliness (Studies 2a–2c).

We examine the relationship between the organization of a multi-divisional firm and its ability to adapt production decisions to changes in the environment. We show that even if lower-level managers have superior information about local conditions, and incentive conflicts are negligible, a centralized organization can be better at adapting to local information than a decentralized one. As a result, and in contrast to what is commonly argued, an increase in product market competition that makes adaptation more important can favor centralization rather than decentralization.

In this paper, we discuss the role of overconfidence as an explanation for these patterns. Overconfidence means having mistaken valuations and believing in them too strongly. It might seem that actors in liquid financial markets should not be very susceptible to overconfidence, because return outcomes are measurable, providing extensive feedback. However, overconfidence has been documented among experts and professionals, including those in the finance profession.

We review limitations of the traditional paradigm for cultural research and propose an alternative framework, polyculturalism. Polyculturalism assumes that individuals' relationships to cultures are not categorical but rather are partial and plural; it also assumes that cultural traditions are not independent, sui generis lineages but rather are interacting systems. Individuals take influences from multiple cultures and thereby become conduits through which cultures can affect each other.

This review synthesizes research on power and morality. Although power is typically viewed as undermining the roots of moral behavior, this paper proposes power can either morally corrupt or morally elevate individuals depending on two crucial factors. First, power can trigger behavioral disinhibition. As a consequence, power fosters corruption by disinhibiting people's immoral desires, but can also encourage ethical behavior by amplifying moral impulses. Second, power leads people to focus more on their self, relative to others.

This article considers the social and psychological functions that norm-based thinking and behavior provide for the individual and the collectivity. We differentiate between two types of reference groups that provide norms: peer groups versus aspirational groups. We integrate functionalist accounts by distinguishing the functions served by the norms of different reference groups, different degrees of norm moralization, and different directions of responses to norm activation.

Of all publications on success in sales appearing in this century and many decades previously, The Challenger Sale has perhaps generated more discussion and controversy among sales leaders, strategic account program directors and strategic account managers than any other. But does this widely read and discussed volume actually represent the breakthrough that Neil Rackham suggests, or is it just an interesting examination of sales that serves mainly as an infomercial for the Corporate Executive Board (sponsor of the research) and its affiliates?

We introduce a regression-based nested Monte Carlo simulation method for the estimation of financial risk. An outer simulation level is used to generate financial risk factors and an inner simulation level is used to price securities and compute portfolio losses given risk factor outcomes. The mean squared error (MSE) of standard nested simulation converges at the rate, where measures computational effort. The proposed regression method combines information from different risk factor realizations to provide a better estimate of the portfolio loss function.

We propose that an individual's regulatory focus moderates the significant role social network density — the degree of interconnectedness among a person's social contacts — plays in shaping life satisfaction. Evidence from Study 1 indicates that participants with high prevention effectiveness reported higher life satisfaction when they were embedded in a high-density network, whereas participants with low promotion effectiveness reported lower life satisfaction when they were embedded in a low-density network.

Selecting more effective teachers among job applicants during the hiring process could be a highly cost-effective means of improving educational quality, but there is little research that links information gathered during the hiring process to subsequent teacher performance. We study the relationship among applicant characteristics, hiring outcomes, and teacher performance in the Washington DC Public Schools (DCPS).

We predicted that experiencing emotions that reflect uncertainty about the world (e.g., worry, surprise, fear, hope), compared to certain emotions (e.g., anger, happiness, disgust, contentment), would activate the need to imbue the world with order and structure across a wide range of compensatory measures. To test this hypothesis, three experiments orthogonally manipulated the uncertainty and the valence of emotions. Experiencing uncertain emotions increased defense of government (Experiment 1) and led people to embrace conspiracies and the paranormal (Experiment 2).

We report the results of a survey conducted in November 2014 in which 29 quantitative marketing scholars from around the world reflected on the present and future of their field. The survey focused on substantive areas, methods and tools, practical and managerial relevance, doctoral training, and promotion and tenure. The results of the survey revealed several general insights on the challenges and opportunities faced by the field of quantitative marketing research.

This article studies the causes of China’s Great Famine, during which 16.5 to 45 million individuals perished in rural areas. We document that average rural food retention during the famine was too high to generate a severe famine without rural inequality in food availability; that there was significant variance in famine mortality rates across rural regions; and that rural mortality rates were positively correlated with per capita food production, a surprising pattern that is unique to the famine years.

The current research demonstrates that authenticity is directly linked to morality. Across five experiments, we found that experiencing inauthenticity consistently led participants to feel more immoral and impure. This inauthenticity-feeling immoral link produced an increased desire to cleanse oneself and to engage in moral compensation by behaving prosocially. We established the role that impurity played in these effects through mediation and moderation.

Music has long been suggested to be a way to make people feel powerful. The current research investigated whether music can evoke a sense of power and produce power-related cognition and behavior. Initial pretests identified musical selections that generated subjective feelings of power. Experiment 1 found that music pretested to be powerful implicitly activated the construct of power in listeners. Experiments 2–4 demonstrated that power-inducing music produced three known important downstream consequences of power: abstract thinking, illusory control, and moving first.

At some point, every company makes a mistake that requires an apology — to an individual; a group of customers, employees, or business partners; or the public at large. And more often than not, companies and their leaders fail to apologize effectively, if at all, which can severely damage their reputations and their relationships with stakeholders. Companies need clearer guidelines for determining whether a mistake merits an apology and, when it does, for crafting and delivering an effective message.

Successful managers and leaders need to effectively navigate their organizational worlds, from motivating customers and employees to managing diversity to preventing and resolving conflicts. Perspective-taking is a psychological process that is particularly relevant to each of these activities. The current review critically examines perspective-taking research conducted by both management scholars and social psychologists and specifies perspective-taking's antecedents, consequences, mechanisms, and moderators, as well as identifies theoretical and/or empirical shortfalls.

The current research examined the relationship between hierarchy and vocal acoustic cues. Using Brunswik's lens model as a framework, we explored how hierarchical rank influences the acoustic properties of a speaker's voice and how these hierarchy-based acoustic cues affect perceivers' inferences of a speaker's rank. By using objective measurements of speakers' acoustic cues and controlling for baseline cue levels, we were able to precisely capture the relationship between acoustic cues and hierarchical rank, as well as the covariation among the cues.

Having a well-defined hierarchy can contribute to organizational effectiveness: it helps people know who does what, when and how, and promotes efficient interactions by setting clear expectations for the behaviors of people of different ranks. This is especially true when people feel under threat, helping to restore a sense of order and control. However, sometimes hierarchy can hurt as much as it helps. In complex, dynamic situations, leaders need access to the most complete and varied information to make the best decisions.

Effective monitoring by equity blockholders is important for good corporate governance. A prominent theoretical literature argues that the threat of block sale ("exit") can be an effective governance mechanism. Many blockholders are money managers. We show that, when money managers compete for investor capital, the threat of exit loses credibility, weakening its governance role. Money managers with more skin in the game will govern more successfully using exit. Allowing funds to engage in activist measures ("voice") does not alter our qualitative results.

In the wake of recent revelations about US involvement in torture, and widespread and seemingly-growing support of torture in the US, we consider how people judge the value of information gained from informants under coercion. Drawing on past work on confirmation biases and moral judgments, we predicted, and found, that American torture supporters are more likely than opposers to see coerced information as relatively valuable and necessary in a scenario describing the foiling of an al-Qaeda terrorist attack.

The development of predictive models in healthcare settings has been growing; one such area is the prediction of patient arrivals to the Emergency Department (ED). The general premise behind these works is that such models may be used to help manage an ED which consistently faces high congestion. In this work, we propose a class of proactive policies which utilizes future information of potential patient arrivals to effectively manage admissions into an ED while reducing waiting times for patients who are eventually treated.

This article introduces the method of single-neuron recording in humans to marketing and consumer researchers. First, the authors provide a general description of this methodology, discuss its advantages and disadvantages, and describe findings from previous single-neuron human research. Second, they discuss the relevance of this method for marketing and consumer behavior and, more specifically, how it can be used to gain insights into the areas of categorization, sensory discrimination, reactions to novel versus familiar stimuli, and recall of experiences.

This research explores vagal flexibility — dynamic modulation of cardiac vagal control — as an individual-level physiological index of social sensitivity. In 4 studies, we test the hypothesis that individuals with greater cardiac vagal flexibility, operationalized as higher cardiac vagal tone at rest and greater cardiac vagal withdrawal (indexed by a decrease in respiratory sinus arrhythmia) during cognitive or attentional demand, perceive social-emotional information more accurately and show greater sensitivity to their social context.

Little is known about how discrimination manifests before individuals formally apply to organizations or how it varies within and between organizations. We address this knowledge gap through an audit study in academia of over 6,500 professors at top U.S. universities drawn from 89 disciplines and 259 institutions. In our experiment, professors were contacted by fictional prospective students seeking to discuss research opportunities prior to applying to a doctoral program.

Although economists, politicians, and business leaders have long emphasized the importance of entrepreneurship, defining and characterizing entrepreneurship has been elusive. Researchers have been unable to systematically connect the type of high-impact entrepreneurship found in regions such as Silicon Valley with the overall incidence of entrepreneurship in the population.

In a recent statement, the American Statistical Association (ASA) discusses the use of value-added measurement to evaluate teacher quality. We present our views on the issues raised by the ASA, in light of research we and others have done on this subject. We highlight areas of agreement with the ASA statement, clarify which issues raised by the ASA have been largely resolved, and point to those issues which should be a priority for future research.

Age-related deterioration in cognitive ability may compromise the ability of older adults to make major financial decisions. We explore whether knowledge and expertise accumulated from past decisions can offset cognitive decline to maintain decision quality over the life span.

The authors discuss the current state and future scenarios of brand experience — a new concept that they contributed to the brand management literature. Specifically, they present three research and practical trends, and marketing challenges: (i) the proliferation of settings and media that evoke brand experiences; (ii) the role of brands in consumption experiences; and (iii) the need of brand experiences to reach positive psychological outcomes.

I investigate whether diseases subject to more rapid pharmaceutical innovation experienced greater declines in Americans’ disability days and use of medical services during the period 1997–2010, controlling for several other factors, using data from the Medical Expenditure Panel Survey. The mean number of work loss days, school loss days, and hospital admissions declined more rapidly among medical conditions with larger increases in the mean number of new (post-1990) prescription drugs consumed.

Can subsidies promote Pareto-optimum coordination? We found that partially subsidizing the cooperative actions for two out of six players in a laboratory coordination game usually produced better coordination and higher total social welfare with both deterministic and stochastic payoffs. Not only were the subsidized players more likely to cooperate (choose the Pareto-optimum action), but the unsubsidized players increased their expectations on how likely others would cooperate, and they cooperated more frequently themselves.

We decompose the squared VIX index, derived from US S&P500 options prices, into the conditional variance of stock returns and the equity variance premium. We evaluate a plethora of state-of-the-art volatility forecasting models to produce an accurate measure of the conditional variance. We then examine the predictive power of the VIX and its two components for stock market returns, economic activity and financial instability.

International business (IB) research has predominantly relied on value constructs to account for the influence of societal culture, notably Hofstede's cultural dimensions. While parsimonious, the value approach's assumptions about the consensus of values within nations, and the generality and stability of cultural patterns of behavior are increasingly challenged.

This work examines the process of admission to a hospital’s intensive care unit (ICU). ICUs currently lack systematic admission criteria, largely because the impact of ICU admission on patient outcomes has not been well quantified. This makes evaluating the performance of candidate admission strategies difficult. Using a large patient-level data set of more than 190,000 hospitalizations across 15 hospitals, we first quantify the cost of denied ICU admission for a number of patient outcomes.