Working PaperSSRN
Beyond FICO
Yasuhiro Kawakami (Pensata, Inc.) · Ryosuke Fujitani (Hitotsubashi University ICS)
Posted August 11, 2026 · DOI: 10.2139/ssrn.7235778
Traditional credit scoring relies on static, backward-looking financial history that fails to capture how decision-makers behave under uncertainty. This paper introduces a state-dependent behavioral measurement framework that quantifies risk tolerance, loss aversion, and probability weighting directly from simulated financial decisions. We demonstrate that these behavioral parameters predict cash-flow risk with materially greater accuracy than conventional scores.
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