NBER WORKING PAPERS SERIES NONRATIONAL ACTORS AND FINANCIAL MARKET BEHAVIOR Richard Zeckhauser Jayendu Patel Darryll Hendricks Working Paper No.3731 NATIONAL BUREAU OF ECONOMIC RESEARCH 1050 Massachusetts Avenue Cambridge,MA 02138 June 1991 Zeckhauser is also affiliated with the National Bureau of Economic Research.Please direct correspondence to 79 JFK St., Cambridge,MA02138,U.s.A.(phone:617-495-1393,fax:617-495- 1972).The research was partially funded by the Decision,Risk, and Management Science Program of the National Science Foundation.This paper is forthcoming in Theory and Decision. This paper is part of NBER's research program in Financial Markets and Monetary Economics.Any opinions expressed are those of the authors and not those of the National Bureau of Economic Research