Fairness-related decision making is an important issue in the field of decision making. Traditional theories emphasize the roles of inequity aversion and reciprocity, whereas recent research increasingly shows that emotion plays a critical role in this type of decision making. In this review, we summarize the influences of three types of emotions (i.e., the integral emotion experienced at the time of decision making, the incidental emotion aroused by a task-unrelated dispositional or situational source, and the interaction of emotion and cognition) (...) on fairness-related decision making. Specifically, we first introduce three dominant theories that describe how emotion may influence fairness-related decision making (i.e., the wounded pride/spite model, affect infusion model, and dual-process model). Next, we collect behavioral and neural evidence for and against these theories. Finally, we propose that future research on fairness-related decision making should focus on inducing incidental social emotion, avoiding irrelevant emotion when regulating, exploring the individual differences in emotional dispositions, and strengthening the ecological validity of the paradigm. (shrink)

Many studies demonstrate that people form their first impression of a stranger based on facial appearance, and these impressions influence their subsequent decisions and behaviors. However, much less research has examined the factors that moderate the accuracy of first impressions based on a photo of face. The present study included three experiments to explore gender differences in the accuracy of impressions based on faces. The results showed that people judge facial attractiveness more accurately for female faces than for male faces (...) while giving more accurate wealth judgments for male faces than for female faces. Interestingly, although we did not find a significant correlation between confidence ratings and the accuracy of wealth rating, we recognized a significant moderate correlation between confidence ratings and the accuracy of attractiveness ratings when female participants rated male faces. To our knowledge, the present study is the first to reveal gender biases in the accuracy of impression judgments based on facial appearance. These findings imply a significant influence of traditional gender roles on accurate facial judgments. (shrink)

Green innovation investments have rapidly grown since 2000. Green innovation indexes play important roles and are typically constructed by screening and indexing. However, Nobel Laureate Markowitz emphasizes portfolio selection instead of security selection and accentuates that “A good portfolio is more than a long list of good stocks.” Moreover, the screening-indexing strategies ignore that investors can take green innovation as an additional objective and thus gain additional utility. We consequently construct 3-objective portfolio selection for green innovation in addition to variance (...) and expected return. An efficient frontier of portfolio selection then extends to an efficient surface which is a panorama of the optimal variance, expected return, and expected green innovation. Investors thus fully envisage the trade-offs and enjoy the freedom of choosing preferred portfolios on the surface. In contrast, the screening-indexing strategies inflexibly leave investors with only one point. As the originality, we prove in a theorem that there typically exists a curve on the efficient surface so all portfolios on the curve dominate the green innovation index. We test the dominance by component stocks of China Securities Index 300 and obtain affirmative results out of sample. The results still hold in robustness tests. At last, we classify green innovation into categories, further model the categories by general k -objective portfolio selection, and still illustrate the dominance. Consequently, investors can consider and control each category. (shrink)