Social Interaction and Stock-Market Participation

By Harrison G. Hong, Jeffrey D. Kubik, Jeremy C. Stein. 2004

1,596 citations recorded by the source corpus.

Subfields: Accounting, Economics and Econometrics

View Paper: https://www.semanticscholar.org/paper/28fad8945e74a0a7cd3760b74011d716a3a95c35

Citations in the corpus

• Is Crime Contagious? (2007, neutral): “For a comprehensive review, see Sampson, Morenoff, and Gannon-Rowley (2002). outcomes, such as student test scores (Hoxby 2000), investment behavior (Hong, Kubik, and Stein 2004, 2005; Hong and Kacperczyk 2005), and college drinking (Sacerdote 2001; Duncan et al. 2005).”
• Social Capital and Growth (2003, neutral): “Similarly, Hong, Kubik, and Stein (2001) find that in the Unites States, people who " know their neighbors " have higher stock-market participation rates.”
• Learning from Coworkers: Peer Effects on Individual Investment Decisions (2017, neutral): “A small subset of these papers uses field data to measure the relation between peers’ choices (Brown, Ivkovic, Smith, and Weisbenner, 2008; Hong, Kubik, and Stein, 2004).”
• Financial Literacy, Portfolio Choice and Financial Well-Being (2016, neutral): “…linked with the participation puzzle: cognitive ability (Christelis, Jappelli, & Padula 2010; Grinblatt, Keloharju, & Linnainmaa 2011; Agarwal, & Mazumder 2013), awareness of stocks (Guiso & Jappelli 2005), education level (Cole, Paulson, & Shastry 2014) and social interactions (Hong et al. 2004).”
• Behavioural Finance: A Review and Synthesis (2007, neutral): “Quite apart from portfolio choice across different equities, using survey data, Hong et al. (2004) address the issue of which agents invest in equities at all.”
• Do Social Factors Influence Investment Behavior and Performance? Evidence from Mutual Fund Holdings (2015, neutral): “preferences are influenced by people in their area with whom they interact (see, e.g., Shu et al, 2012; Hong et al., 2004).”
• Consumer Bankruptcy and Default: The Role of Individual Social Capital (2011, neutral): “Hong, Kubik, and Stein (2004) show that people who attend church and interact”
• Fast profits: Investor sentiment and stock returns during Ramadan (2012, neutral): “The existing literature also acknowledges that religiosity, social interactions and social norms can influence investment decisions of individuals and financial institutions, as well as corporate decision-making in general (Duflo and Saez, 2002; Hong et al., 2004; Brown and Taylor, 2010; Hong and Ka”
• The Price of Sin: The Effects of Social Norms on Markets (2009, neutral): “Recent work on social interaction and financial markets focuses primarily on investor behavior (see, e.g., Hong, Kubik, and Stein, 2004 ).”
• Precautionary Savings, Retirement Planning and Misperceptions of Financial Literacy (2017, neutral): “Indeed, self-confidence has been shown to be an important driver of behavior in a variety of different market settings (see Camerer and Lovallo (1999), Hong, Kubik, and Stein (2004), or Barber and Odean (2000).)”
• Peer Pressure: Social Interaction and the Disposition Effect (2016, neutral): “Cohort-effects lower barriers to entry in the stock market (Hong et al. (2001)) and retail traders tend to form coalitions with one-another (e.g. online social networks) in order to protect themselves against adverse selection risk (Davies (2014)). viii To better understand the mechanisms…”
• Financial Literacy and the Financial Crisis (2012, neutral): “Several other studies have documented that individuals learn about financial matters from peers (Duflo and Saez, 2003 Hong, Kubik, and Stein, 2004; and Brown, Ivkovic, Smith, and Weisbenner, 2008).”
• Gender, Stock Market Participation and Financial Literacy (2015, neutral): “…fixed participation costs (e.g., Haliassos and Bertaut 1995, Vissing-Jørgensen 2003), lack of stock market awareness or social connections (e.g., Hong et al. 2004, Guiso and Jappelli 2005, van Rooij et al. 2011), lack of trust (Guiso et al. 2008), and risk aversion (e.g. Halko et al.…”
• Investors’ trading activity: A behavioural perspective and empirical results (2011, neutral): “Hong et al. (2004) have investigated the participation of households in the stock market and they have concluded that social households are 4% more likely to invest in the stock market than nonsocial households.”