Name: Sapna & Priyanka Devi
Country: India

Year: 2023
Volume: Volume-10, Issue-1 (January-June)
Page Number: 56-64

ABSTRACT
Purpose - The purpose of this paper is to study the impact of behavioral bias i.e. overconfidence bias on the investment decisions of the investors and the impact of irrational decision-making on the sustainability of economic growth.

Design/methodology/approach - A survey has been conducted to explore the impact of overconfidence bias on investment decision-making with the help of a well-structured closeended questionnaire. The collected data has been analyzed with the help of ordinary least square regression. Due to time and financial constraints, the target population of the study is the stock market investors, especially those who live in Amritsar city.

Findings - The findings of the study posed that overconfidence in investors impacts their investment decisions but the variation shown by overconfidence bias in investment decisions is small. The results posit the positive impact of the overconfidence bias on the investment decisions of the investors.

Research limitations/implications - The major limitation of the study is a small sample size of only 95 respondents. The other limitation is the use of non-probability sampling techniques.

Keywords - Overconfidence bias, investment decision, regression