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Herding Behavior: Intensification and Flow in the Indonesian Stock Market

Author

Listed:
  • Hidayati Lina Nur
  • Alteza Muniya
  • Winarno Winarno

    (Management, Universitas Negeri Yogyakarta, Indonesia)

Abstract

Subject and purpose of work: This paper explores whether herding behavior is formed according to the type of investor, how long the transmission of herding behavior occurs, and identifies how big the reaction of herding behavior is and how the flow of herding behavior connects between investors.

Suggested Citation

  • Hidayati Lina Nur & Alteza Muniya & Winarno Winarno, 2022. "Herding Behavior: Intensification and Flow in the Indonesian Stock Market," Economic and Regional Studies / Studia Ekonomiczne i Regionalne, Sciendo, vol. 15(3), pages 351-367, September.
    • Handle: RePEc:vrs:ecoreg:v:15:y:2022:i:3:p:351-367:n:1
    DOI: 10.2478/ers-2022-0024
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    References listed on IDEAS

    as
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    8. David Hirshleifer & Siew Hong Teoh, 2003. "Herd Behaviour and Cascading in Capital Markets: a Review and Synthesis," European Financial Management, European Financial Management Association, vol. 9(1), pages 25-66, March.
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    11. Tan, Lin & Chiang, Thomas C. & Mason, Joseph R. & Nelling, Edward, 2008. "Herding behavior in Chinese stock markets: An examination of A and B shares," Pacific-Basin Finance Journal, Elsevier, vol. 16(1-2), pages 61-77, January.
    12. Barber, Brad M. & Odean, Terrance, 2013. "The Behavior of Individual Investors," Handbook of the Economics of Finance, in: G.M. Constantinides & M. Harris & R. M. Stulz (ed.), Handbook of the Economics of Finance, volume 2, chapter 0, pages 1533-1570, Elsevier.
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    14. Demirer, Riza & Kutan, Ali M. & Chen, Chun-Da, 2010. "Do investors herd in emerging stock markets?: Evidence from the Taiwanese market," Journal of Economic Behavior & Organization, Elsevier, vol. 76(2), pages 283-295, November.
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    More about this item

    Keywords

    herding behavior; investor; stock market;
    All these keywords.

    JEL classification:

    • G41 - Financial Economics - - Behavioral Finance - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making in Financial Markets

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