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Asia-Pacific Financial Markets
Published in: Asia-Pacific Financial Markets 3/2020

07-02-2020 | Original Research

Market Participation Willingness and Investor’s Herding Behavior: Evidence from an Emerging Market

Authors: Xiong Xiong, Chen Wang, Dehua Shen

Published in: Asia-Pacific Financial Markets | Issue 3/2020

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Abstract

With the newly emerged dataset on investors’ willingness to participate into the stock market, this paper gives the first empirical evidence on the impacts of the market participation on investors’ herding behavior in Chinese stock market. The empirical results mainly show that: (1) investors’ market participation willingness is positively related to investors’ herding behavior; (2) the herding behavior is more pronounced in the periods of investors’ market participation willingness is high and rising; and (3) these impacts are more pronounced in the period from April 1, 2012 to March 9, 2016. Generally speaking, our results indicate the interdependence between investor trading behavior and online sentiment.
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Footnotes
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Metadata
Title
Market Participation Willingness and Investor’s Herding Behavior: Evidence from an Emerging Market
Authors
Xiong Xiong
Chen Wang
Dehua Shen
Publication date
07-02-2020
Publisher
Springer Japan
Published in
Asia-Pacific Financial Markets / Issue 3/2020
Print ISSN: 1387-2834
Electronic ISSN: 1573-6946
DOI
https://doi.org/10.1007/s10690-020-09302-8

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