We propose a theory of securities market under‐and overreactions based on two well‐ known psychological biases: investor overconfidence about the precision of private …
WI Chuang, BS Lee - Journal of Banking & Finance, 2006 - Elsevier
Recently, several behavioral finance models based on the overconfidence hypothesis have been proposed to explain anomalous findings, including a short-term continuation …
N Barberis, A Shleifer, R Vishny - Journal of financial economics, 1998 - Elsevier
Recent empirical research in finance has uncovered two families of pervasive regularities: underreaction of stock prices to news such as earnings announcements, and overreaction of …
VNC Mushinada - Journal of Behavioral and Experimental Finance, 2020 - Elsevier
Using detailed survey data of 384 Indian investors, the study examines whether self- attribution bias and overconfidence bias exist in Indian stock market and also whether …
DN Dreman, EA Lufkin - The Journal of Psychology and Financial …, 2000 - Taylor & Francis
Probably no subject in recent financial literature has generated more controversy than whether investors behave rationally in pricing stocks, or whether they overreact to market …
WFM De Bondt, R Thaler - The Journal of finance, 1985 - Wiley Online Library
Research in experimental psychology suggests that, in violation of Bayes' rule, most people tend to “overreact” to unexpected and dramatic news events. This study of market efficiency …
D Hirshleifer - The journal of Finance, 2001 - Wiley Online Library
The basic paradigm of asset pricing is in vibrant flux. The purely rational approach is being subsumed by a broader approach based upon the psychology of investors. In this approach …
VNC Mushinada, VSS Veluri - International Journal of Managerial …, 2018 - emerald.com
Purpose The purpose of the paper is to empirically test the overconfidence hypothesis at Bombay Stock Exchange (BSE). Design/methodology/approach The study applies bivariate …
JS Howe - Financial Analysts Journal, 1986 - Taylor & Francis
Interest in market overreactions dates back at least as far as the tulip bulb craze of the 1630s.'In 1929, Pigou wrote of the links between businessmen, which" act as conducting …