The misinformation effect in financial markets – an emerging issue in behavioral finance
The misinformation effect in financial markets – an emerging issue in behavioral finance
Author(s): Mateusz PolakSubject(s): Business Economy / Management, Financial Markets, Socio-Economic Research
Published by: Wyższa Szkoła Informatyki i Zarządzania z siedzibą w Rzeszowie
Keywords: behavioral finance; stock market psychology; misinformation effect;
Summary/Abstract: The following paper is a theoretical introduction of the misinformation effect to behavioural finance. The misinformation effect causes a memory report regarding an event or particular knowledge to become contaminated with misleading information fromanother source.The paper aims to describe possible impact of the aforementioned phenomenon on the interpretation of stock market data, as well as the consequences of misinformation on investment-related decisions and the effective market hypothesis.
Journal: Financial Internet Quarterly
- Issue Year: 8/2012
- Issue No: 3
- Page Range: 55-61
- Page Count: 7
- Language: English
