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Lecture Notes

Lecture 3: Thermodynamics

Key Concept

Heat is energy in transit due to a temperature difference.

Formula: Q = mcΔT

  • m = mass
  • c = specific heat
  • ΔT = temperature change

Types of Heat Transfer

  • Conduction
  • Convection
  • Radiation

Laws of Thermodynamics

  • First law: energy conservation
  • Second law: entropy always increases

lecture 3 thermodynamics heat is energy in transit due to temp difference q=mcdt where m is mass c is specific heat dt is temp change types of heat transfer conduction convection radiation first law energy conservation second law entropy always increases

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Research Paper

Abstract

This paper examines cognitive biases in retail investors. We analyze loss aversion, anchoring bias, and herd mentality using data from 847 investors in Poland (2022–2024). Results show that these biases reduce returns by 3–7% annually.

Key Findings

  • Biases reduce returns by 3–7% annually
  • Loss aversion is the strongest predictor (r = −0.43)

Methodology

Data were collected from 847 retail investors in Poland between 2022 and 2024. We measured loss aversion, anchoring bias, and herd mentality, then compared these scores with annual investment returns.

abstract this paper examines cognitive biases in retail investors we analyze loss aversion anchoring bias herd mentality data from 847 investors in poland 2022-2024 results show biases reduce returns by 3-7% annually loss aversion strongest predictor r=-0.43

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