Behavioral finance is the study of the role played by psychological factors in financial decision-making and their effect on overall market outcomes. It examines how individual and group behavior deviates from the rational pursuit of self-interest posited by classical economic theory.
Normative economics is a branch of economics that discusses what the economic goals and policies of society should be, often reflecting personal values or opinions. It contrasts with positive economics, which aims to understand how the economy operates.
