to the feedback of these news on the agents’ strategies into collective transient herding regimes. These ingredients … simple reconciliation of the two opposite (herding versus fundamental) proposals for the origin of crashes within a single …

We present a simple agent-based model to study the development of a bubble and the consequential crash and investigate … trading decision according to its recent predicting performance. We find that bubbles originate from a random lucky streak of … herding regime. After this self-amplified exuberance, the price has reached an unsustainable high value, being corrected by a …

Bubbles and crashes have long been an important area of research that has not yet led to a comprehensive theoretical or … bubbles, crashes, and volatility are surveyed and a promising direction for future research, based on a theory of short … methods open a new perspective from which it is possible to analyze bubble and crash events as applied to different time …

Purpose –The purpose of this paper is to present and empirically test for the first time the hypothesis that herding in … herding. Tests are conducted for each market for the period prior to and after its merger into EURONEXT, controlling for a … indicate that, with the exception of Portugal, herding grows in significance, yet declines in momentum post-merger. The authors …

analysis using the Heterogeneous Agent Model extended with the selected findings from behavioural finance: herding …