Good Reasons Sell: Reason-Based Choice Among Group and Individual Investors in the Stock Market

References

  • Antunovich P., Laster D. Do investors mistake a good company for a good investment. (1998) . Unpublished paper, Federal Reserve Bank of New York, New YorkGoogle Scholar
  • Barber B. M., Odean T. Trading is hazardous to your wealth: The common stock investment performance of individual investors. J. Finance (2000a) 55:773–806CrossrefGoogle Scholar
  • Barber B. M., Odean T. Too many cooks spoil the profits: The performance of investment clubs. Financial Analysts J. (2000b) 56(January/February):17–25CrossrefGoogle Scholar
  • Burnstein E., Vinokur A. Persuasive argumentation and social comparison as determinants of attitude polarization. J. Experiment. Soc. Psych. (1977) 13:315–332CrossrefGoogle Scholar
  • Clarke R., Statman M. Growth, value, good, and bad. Financial Analysts J. (1994) 50:82–86CrossrefGoogle Scholar
  • Compustat Industrial Annual Data 1990-1996Standard & Poor's Compustat (2001) (McGraw-Hill, New York) Google Scholar
  • CRSP Stocks 1990-1996 Center for Research in Security Prices. (2001) (Graduate School of Business, University of Chicago, Chicago, IL) Google Scholar
  • Davis J. H. Group decision and social interaction: A theory of social decision schemes. Psych. Rev. (1973) 80:97–125CrossrefGoogle Scholar
  • DeBondt W. F. M., Thaler R. H. Does the stock market overreact. J. Finance (1985) 40:793–805CrossrefGoogle Scholar
  • DeBondt W. F. M., Thaler R. H. Further evidence on investor overreaction and stock market seasonality. J. Finance (1987) 42:557–581CrossrefGoogle Scholar
  • Fama E. F. Efficient capital markets II. J. Finance (1991) 46:1575–1618CrossrefGoogle Scholar
  • Fama E. F., French K. R. The cross-section of expected stock returns. J. Finance (1992) 47:427–465CrossrefGoogle Scholar
  • Fama E. F., French K. R. Common risk factors in returns on stocks and bonds. J. Financial Econom. (1993) 33:3–56CrossrefGoogle Scholar
  • FortuneFortune (2001) . Most Admired Companies Annual Data 1990-1996Google Scholar
  • Gigone D., Hastie R. The common knowledge effect: Information sharing and group judgment. J. Personality Soc. Psych. (1993) 65:959–974CrossrefGoogle Scholar
  • Gigone D., Hastie R. The impact of information on small group choice. J. Personality Soc. Psych. (1997) 72:132–140CrossrefGoogle Scholar
  • Harrington B., Gabbay S., Leenders R. Organizational performance and corporate social capital: A contingency mode. Res. Sociology Organ. (2001) (Elsevier, New York) 88–106Google Scholar
  • Harrington B. The pervasive effects of network content. (2002) . Unpublished working paper, Brown University, Providence, RIGoogle Scholar
  • Hsee C. K. The evaluability hypothesis: An explanation for preference reversals between joint and separate evaluation of alternatives. Organ. Behavior Human Decision Processes (1996) 67:247–257CrossrefGoogle Scholar
  • Hsee C. K. Value-seeking and prediction-decision inconsistency. Psychonomic Bull. Rev. (1999) 6:555–561CrossrefGoogle Scholar
  • Hsee C. K., Loewenstein G. F., Blount S., Bazerman M. H. Preference reversals between joint and separate evaluations of options: A review and theoretical analysis. Psych. Bull. (1999) 125:576–590CrossrefGoogle Scholar
  • Irwin J. R., Davis J. H. Choice/matching preference reversals in groups: Consensus processes and justification-based reasoning. Organ. Behavior Human Decision Processes (1995) 64:325–339CrossrefGoogle Scholar
  • Isenberg D. J. Group polarization: A critical review and meta-analysis. J. Personality Soc. Psych. (1986) 50:1141–1151CrossrefGoogle Scholar
  • Lakonishok J., Shleifer A., Vishny R. W. Contrarian investment, extrapolation, and risk. J. Finance (1994) 49:1541–1578CrossrefGoogle Scholar
  • Lerner J. S., Tetlock P. E. Accounting for the effects of accountability. Psych. Bull. (1999) 125:255–275CrossrefGoogle Scholar
  • Luce M. F. Choosing to avoid: Coping with negatively emotion-laden decisions. J. Consumer Res. (1998) 24:409–433CrossrefGoogle Scholar
  • Luce M. F., Bettman J. R., Payne J. W. Choice processing in emotionally difficult decisions. J. Experiment. Psych.: Learn., Memory, Cognition (1997) 23:384–405CrossrefGoogle Scholar
  • Luce M. F., Payne J. W., Bettman J. R. Emotional trade-off difficulty and choice. J. Marketing Res. (1999) 36:143–159CrossrefGoogle Scholar
  • Moscovici S., Zavalloni M. The group as a polarizer of attitudes. J. Personality Soc. Psych. (1969) 12:125–135CrossrefGoogle Scholar
  • Myers D. G., Lamm H. The group polarization phenomenon. Psych. Bull. (1976) 83:602–627CrossrefGoogle Scholar
  • Odean T. Do investors trade too much? Amer. Econom. Rev. (1999) 89:1279–1298CrossrefGoogle Scholar
  • O'Hara T. E., Janke K. S.Starting and Running a Profitable Investment Club: The Official Guide from the National Association of Investment Clubs (1996) (Times Business, New York) Google Scholar
  • Payne J. W., Bettman J. R., Johnson E. J.The Adaptive Decision Maker (1993) (Cambridge University Press, Cambridge, U.K) CrossrefGoogle Scholar
  • Shafir E., Simonson I., Tversky A. Reason-based choice. Cognition (1993) 49:11–36CrossrefGoogle Scholar
  • Shefrin H. Do investors expect higher returns from safer stocks than from riskier stocks. J. Psych. Financial Markets (2001) 2(4):176–181CrossrefGoogle Scholar
  • Shefrin H., Statman M. Making sense of beta, size, and book-to-market. J. Portfolio Management (1995) 25:26–34CrossrefGoogle Scholar
  • Simonson I. Choice-based reasons: The case of attraction and compromise effects. J. Consumer Res. (1989) 16:158–174CrossrefGoogle Scholar
  • Slovic P. Choice between equally valued alternatives. J. Experiment. Psych.: Human Perception Performance (1975) 1:280–287CrossrefGoogle Scholar
  • Tetlock P. E. The impact of accountability on judgment and choice: Toward a social contingency model. Adv. Experiment. Soc. Psych. (1992) 25:331–376CrossrefGoogle Scholar
  • Tversky A., Shafir E. Choice under conflict: The dynamics of deferred decision. Psych. Sci. (1992) 6:358–361CrossrefGoogle Scholar
  • Tversky A., Sattath S., Slovic P. Contingent weighting in judgment and choice. Psych. Rev. (1988) 95:371–384CrossrefGoogle Scholar
  • Wittenbaum G. M., Stasser G., Nye J. L., Brower A. M. What's social about social cognition? Research on socially shared cognition in small group. Management Inform. Small Groups (1996) (Sage Publications, Thousand Oaks, CA) 3–28Google Scholar
INFORMS site uses cookies to store information on your computer. Some are essential to make our site work; Others help us improve the user experience. By using this site, you consent to the placement of these cookies. Please read our Privacy Statement to learn more.