This list includes some of the books mentioned in a previous post as well as others about the psychology of reading. It is intended as a starting point rather than a definitive bibliography on the subject.
Dehaene, Stanislas. Reading in the Brain: the Science and Evolution of a Human Invention. New York: Viking, 2009. Print.
Fireman, Gary D., Ted E. McVay, and Owen J. Flanagan. Narrative and Consciousness: Literature, Psychology, and the Brain. Oxford: Oxford UP, 2003. Print.
Gerrig, Richard J. Experiencing Narrative Worlds: on the Psychological Activities of Reading. New Haven: Westview, 1998. Print.
Gottschall, Jonathan, and David Sloan Wilson, eds. The Literary Animal: Evolution and the Nature of Narrative. Evanston, Ill.: Northwestern UP, 2005. Print.
Iser, Wolfgang. The Act of Reading: a Theory of Aesthetic Response. Baltimore: Johns Hopkins UP, 1980. Print.
Iser, Wolfgang. The Implied Reader: Patterns of Communication in Prose Fiction from Bunyan to Beckett. Baltimore: Johns Hopkins UP, 1978. Print.
Rosenblatt, Louise M. Literature as Exploration. New York: Modern Language Association of America, 1995. Print.
Scholes, Robert E., James Phelan, and Robert Kellogg. The Nature of Narrative. Oxford: Oxford UP, 2006. Print.
Tompkins, Jane P. Reader-response Criticism: from Formalism to Post-structuralism. Baltimore: Johns Hopkins UP, 1980. Print.
Wood, James. How Fiction Works. New York: Farrar, Straus and Giroux, 2008. Print.
Zunshine, Lisa. Why We Read Fiction: Theory of Mind and the Novel. Columbus: Ohio State UP, 2006. Print.