Final answer:
Behavioral finance studies psychological biases in financial decisions; it doesn't argue for increased stock repurchases. Dividends are generally considered tax-disadvantaged due to being taxed twice. Therefore, the correct option is D.
Step-by-step explanation:
Behavioral finance (behavioral finance) is a field within finance that argues that psychological influences and biases can affect the financial behaviors of investors and financial practitioners. It does not necessarily argue for increased stock repurchases, which is a strategy a company may use to buy back its own shares from investors. The question about dividends being tax-disadvantaged refers to the fact that dividends are often taxed twice: once at the corporate level and again at the personal level when received by investors. Therefore, the statement that dividends are tax disadvantaged is generally true.