Who Drove and Burst the Tech Bubble
By John M. Griffin, Jeffrey H. Harris, Tao Shu, Selim Topaloglu. 2011
314 citations recorded by the source corpus.
From 1997 to March 2000, as technology stocks rose more than five-fold, institutions bought more new technology supply than individuals. Among institutions, hedge funds were the most aggressive investors, but independent investment advisors and mutual funds (net of flows) actively invested the most capital in the technology sector. The technology stock reversal in March 2000 was accompanied by a broad sell-off from institutional investors but accelerated buying by individuals, particularly discount brokerage clients. Overall, our evidence is most consistent with the bubble model of Abreu and Brunnermeier (2003) where rational arbitrageurs fail to trade against bubbles until a coordinated selling effort occurs.
Subfields: Accounting, Finance
View Paper: https://www.semanticscholar.org/paper/85e7cb001afbc9e37c1dacfc2bd253d82c996905
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In Accounting
- John M. Griffin
- Nicholas Barberis
- A. Shleifer
- Gustavo Grullon
- A. Cheung
- E. Roca
- Alexei Zhdanov
- Amin Shams
In Finance
- Nicholas Barberis
- A. Shleifer
- Lawrence J. Jin
- John M. Griffin
- Robin Greenwood
- Amin Shams
- Bahattin Büyüksahin
- Gustavo Grullon
Citations in the corpus
- Extrapolation and bubbles (2018, methodology): “com stock (Griffin et al. 2011).”
- Speculators, Prices and Market Volatility (2016, background): “5 Management financial bailout (Edwards (1999)) and the technology bubble (Brunnermeier and Nagel (2004) and Griffin et al. (2010)).”
- Real Options, Volatility, and Stock Returns (2012, background): “Although Battalio and Schultz (2006), Schultz (2008), and Griffin et al. (2011)”
- The Role of the Media in the Internet IPO Bubble (2009, background): “This result remains after controlling for liquidity, size, variance in the late 1990s includes Cooper, Dimitrov, and Rau (2001), Ofek and Richardson (2002), (2003), Lamont and Thaler (2003), Brunnermeier and Nagel (2004), Loughran and Ritter (2004), and Griffin, Harris, and Topaloglu (2005).”
- Is Bitcoin Really Untethered? (2020, background): “Hedge funds and other institutional investors were the main net buyers of overpriced technology stocks during this period (Brunnermeier and Nagel (2004), Griffin et al. (2011)). One line of thinking is that more fraud exists in economic booms because individuals monitor their investments relatively ”
- Crypto-currency bubbles: an application of the Phillips–Shi–Yu (2013) methodology on Mt. Gox bitcoin prices (2015, background): “3 Plenty of theories also exist as to why bubbles exist (see, for example, Griffin et al., 2011; and Taipalus, 2012).”
- Individual Investor Perceptions and Behavior During the Financial Crisis (2013, unknown): “This behavior of investors during the crisis mimics the findings of Kaniel et al. (2008) for normal stock-market periods and those of Griffin et al. (2011) for the March 2000 technology stock reversal.”