Showing 171 - 180 of 266
We study fake news in financial markets using a novel dataset from an undercover SEC investigation. Our setting measures both the direct and indirect effects of market manipulation. Fake articles directly induce abnormal trading activity and increase price volatility, but in addition, the...
Persistent link: https://www.econbiz.de/10012851531
We conduct an experiment designed to understand how social preferences affect investment decisions by observing subjects' stock allocations and probability assessments. Key to the design is that subjects' investment outcomes are treated by neutral, negative or positive payoff externalities on...
Persistent link: https://www.econbiz.de/10012836052
Persistent link: https://www.econbiz.de/10012744675
This paper studies the causal effect of individuals' overconfidence and bounded rationality on asset markets. To do that, we combine a new market mechanism with an experimental design, where (1) players' interaction is centered on the inferences they make about each others' information, (2)...
Persistent link: https://www.econbiz.de/10012734030
This article studies the causal effect of individuals' overconfidence and bounded rationality on information aggregation by using a new multiperiod game in which agents are rewarded for submitting accurate estimates of an unknown asset's value based on (i) their private information and (ii)...
Persistent link: https://www.econbiz.de/10012715231
We design an experiment to understand how social preferences affect investment decisions through stock allocations and probability assessments. The major preference channel is asymmetric in social outcomes - although negative and positive responsible investment (RI) externalities have the same...
Persistent link: https://www.econbiz.de/10012629508
Persistent link: https://www.econbiz.de/10012033528
Beliefs about collective outcomes, such as economic growth or firm profitability, play an important role in many contexts. We study biases in the formation of such beliefs. Specifically, we explore whether over-optimism and self-serving biases in information processing—documented for beliefs...
Persistent link: https://www.econbiz.de/10012494819
We explore both theoretically and experimentally how final prices and security holdings in an asset market influence and forecast behavior and outcomes in an affiliated coordination game. We vary the incentives from the market relative to payoffs from the game, the number of players in a group,...
Persistent link: https://www.econbiz.de/10012718519
We explore both theoretically and experimentally how final prices and security holdings in an asset market influence and forecast behavior and outcomes in an affiliated coordination game. We vary the incentives from the market relative to payoffs from the game, the number of players in a group,...
Persistent link: https://www.econbiz.de/10012719201