This study investigates how financial literacy and behavioral traits affect the adoption of electronic payment(ePayment)services in Japan.We construct a financial literacy index using a representative sample of 25,000...This study investigates how financial literacy and behavioral traits affect the adoption of electronic payment(ePayment)services in Japan.We construct a financial literacy index using a representative sample of 25,000 individuals from the Bank of Japan’s 2019 Financial Literacy Survey.We then analyze the relationship between this index and the extensive and intensive usage of two types of payment services:electronic money(e-money)and mobile payment apps.Using an instrumental variable approach,we find that higher financial literacy is positively associated with a higher likelihood of adopting ePayment services.The empirical results suggest that individuals with higher financial literacy use payment services more frequently.We also find that risk-averse people are less likely to adopt and use ePayment services,whereas people with herd behavior tend to adopt and use ePayment services more.Our empirical results also suggest that the effects of financial literacy on the adoption and use of ePayment differ among people with different behavioral traits.展开更多
This study examines herding behavior in the Pakistani Stock Market under different market conditions,focusing on the Ramadan effect and Crisis period by using data from 2004 to 2014.Two regression models of Christie a...This study examines herding behavior in the Pakistani Stock Market under different market conditions,focusing on the Ramadan effect and Crisis period by using data from 2004 to 2014.Two regression models of Christie and Huang(Financ Analysts J 51:31-37,1995)and Chang et al.,(J Bank Finance 24:1651-1679,2000)are used for herding estimations.Results based on daily stock data reveal that there is an absence of herding behavior during rising(up)and falling(down)market as well as during high and low volatility in market.While herding behavior is detected during low trading volume days.Yearly analysis shows that herding existed during 2005,2006 and 2007,while it is not evident during rest of the period.However,herding behavior is not detected during Ramadan.Furthermore,during financial crisis of 2007-08,Pakistani Stock Market exhibits herding behavior due to higher uncertainty and information asymmetry.展开更多
A model to explain the dynamic characters of earnings management was developed based on the interactionamong several firms’ disclosure policies. Under the condition of incomplete information, each firm’s earnings ma...A model to explain the dynamic characters of earnings management was developed based on the interactionamong several firms’ disclosure policies. Under the condition of incomplete information, each firm’s earnings man-agement will be influenced by the earnings disclosure policies of other firms. It can lead to "herd behavior" of earningsmanagement. This paper studies the relationship between earnings manipulation and rights issue policy based on thedistribution of earnings after management. The results indicate that Chinese listed companies trend towards controllingROE in the narrow ranges just above 6% and 10% .Therefore, "herd behavior" exists in the earnings management.展开更多
In the context of vigorously developing China's securities market institutional investors in the period of economic transition, this paper does the empirical research on the herd behavior from the view of the interac...In the context of vigorously developing China's securities market institutional investors in the period of economic transition, this paper does the empirical research on the herd behavior from the view of the interaction between individual and institutional investors. This paper adopts the standard deviation of trading volume the cross-section to measure herd behavior. The results show that no matter what the market is in bull status and bear status, institutional investors perform herd behavior and with the expansion of the shareholding scale in a bull market, the herd behavior is higher, which suggests that the vigorous development of institutional investors has not eliminated herd behavior. This paper further confirms that there is the endogenous volatility in the market based on an artificial stock market. Finally it is demonstrated the herd behavior of institutional investors cause abnormal fluctuations in the market.展开更多
Artificial stock market simulation based on agent is an important means to study financial market.Based on the assumption that the investors are composed of a main fund,small trend and contrarian investors characteriz...Artificial stock market simulation based on agent is an important means to study financial market.Based on the assumption that the investors are composed of a main fund,small trend and contrarian investors characterized by four parameters,we simulate and research a kind of financial phenomenon with the characteristics of pyramid schemes.Our simulation results and theoretical analysis reveal the relationships between the rate of return of the main fund and the proportion of the trend investors in all small investors,the small investors'parameters of taking profit and stopping loss,the order size of the main fund and the strategies adopted by the main fund.Our work is helpful to explain the financial phenomenon with the characteristics of pyramid schemes in financial markets,design trading rules for regulators and develop trading strategies for investors.展开更多
The idea of this study is derived from observing the profitability of stock investments following the phenomena of continuously rising(or falling)prices of stocks and continuously overbought(or oversold)signals emitte...The idea of this study is derived from observing the profitability of stock investments following the phenomena of continuously rising(or falling)prices of stocks and continuously overbought(or oversold)signals emitted by technical indicators.We employ the standard event study approach and technical trading strategies to explore whether investors would exploit profits in trading the constituent stocks of the Korea Composite Stock Price Index 50 and Shanghai Stock Exchange 50 when the aforementioned continuous phenomena occur.We find that both the Korean and Chinese stock markets are not fully efficient;this finding may enhance the robustness of the existing literature.In addition,we reveal that contrarian strategies are appropriate for the trading stocks listed on the Korean stock market for all the cases investigated in this study.However,momentum strategies are appropriate for the Chinese stock market when continuously rising stock prices and overbought signals are simultaneously observed.These findings imply that the difference in investor behaviors between the Korean and Chinese stock markets might result in dissimilar trading strategies being employed for these two markets.展开更多
Tradable green certificate(TGC)scheme promotes the development of renewable energy industry which currently has a dual effect on economy and environment.TGC market efficiency is reflected in stimulating renewable ener...Tradable green certificate(TGC)scheme promotes the development of renewable energy industry which currently has a dual effect on economy and environment.TGC market efficiency is reflected in stimulating renewable energy investment,but may be reduced by the herding behavior of market players.This paper proposes and simulates an artificial TGC market model which contains heterogeneous agents,communication structure,and regulatory rules to explore the characteristics of herding behavior and its effects on market efficiency.The results show that the evolution of herding behavior reduces information asymmetry and improves market efficiency,especially when the borrowing is allowed.In addition,the fundamental strategy is diffused by herding evolution,but TGC market efficiency may be remarkably reduced by herding with borrowing mechanism.Moreover,the herding behavior may evolve to an equilibrium where the revenue of market players is comparable,thus the fairness in TGC market is improved.展开更多
Herd behavior in financial markets often leads to unjustified macroscopic phenomena.However,despite existing studies on modeling herd behavior,how it varies across individual agents and over time remains unclear.We sh...Herd behavior in financial markets often leads to unjustified macroscopic phenomena.However,despite existing studies on modeling herd behavior,how it varies across individual agents and over time remains unclear.We show that herd behavior in mutual fund companies can be understood from the functional networks representing interactions inferred from investment similarities.Specifically,in this paper,the spatial characteristics of herd behavior stand for the topology relationships of observations in networks.We analyze the collective dynamics of mutual fund investment from 2003 to 2019 in China using the language of network science and show that herding behavior accompanies this industry's development but dwindles after the 2015 Chinese market crash.By integrating community detection analysis,we found an increased degree of coherence in the collective herding behavior of the system,even though the localization of herding behavior decreases for clusters of mutual fund companies when the systemic risk builds up.Further analysis showed that herding behavior impacts the payoff of individual fund companies differently across years.The spatial-temporal changes of herding behavior between mutual funds presented in this paper shed light on the debate of individual versus systemic risk and,thus,could interest regulators and investors.展开更多
Using the unique scheduled disclosure system for annual reports in China’s stock market,we examine within-industry herding behavior in annual report timing.The results reveal the waiting and following behavior strate...Using the unique scheduled disclosure system for annual reports in China’s stock market,we examine within-industry herding behavior in annual report timing.The results reveal the waiting and following behavior strategies used in the annual reporting process within industry.Firms that originally schedule an early(late)disclosure date within their industry are more likely to reschedule to a later(earlier)date.Informational pressure is the dominant mechanism underlying herding in annual reporting,and capital market reputation incentives mainly induce the herding of bad news.Further analysis shows that delaying disclosure via the waiting strategy reduces the future occurrence of restatements,whereas bringing forward disclosure does not change the propensity of future restatements.Overall,we enrich the limited empirical studies on sequential mandatory disclosure decisions within industry.展开更多
The main purpose of this paper is to explore the influence of predation on the spread of a disease developed in the prey population where we assume that the prey has a social behavior.The memory of the prey and the pr...The main purpose of this paper is to explore the influence of predation on the spread of a disease developed in the prey population where we assume that the prey has a social behavior.The memory of the prey and the predator measured by the time fractional derivative plays a crucial role in modeling the dynamical response in a predator–prey interaction.This memory can be modeled to articulate the involvement of interacting species by the presence of the time fractional derivative in the considered models.For the purpose of studying the complex dynamics generated by the presence of infection and the time-fractional-derivative we split our study into two cases. The first one is devotedto study the effect of a non-selective hunting on the spread of the disease, where the localstability of the equilibria is investigated. Further the backward bifurcation is obtainedconcerning basic reproduction rate of the infection. The second case is for explaining theimpact of selecting the weakest infected prey on the edge of the herd by a predator onthe prevalence of the infection, where the local behavior is scrutinized. Moreover, for thegraphical representation part, a numerical simulation scheme has been achieved usingthe Caputo fractional derivative operator.展开更多
基金National Foundation for Science and Technology Development(No.502.01-2020.308).
文摘This study investigates how financial literacy and behavioral traits affect the adoption of electronic payment(ePayment)services in Japan.We construct a financial literacy index using a representative sample of 25,000 individuals from the Bank of Japan’s 2019 Financial Literacy Survey.We then analyze the relationship between this index and the extensive and intensive usage of two types of payment services:electronic money(e-money)and mobile payment apps.Using an instrumental variable approach,we find that higher financial literacy is positively associated with a higher likelihood of adopting ePayment services.The empirical results suggest that individuals with higher financial literacy use payment services more frequently.We also find that risk-averse people are less likely to adopt and use ePayment services,whereas people with herd behavior tend to adopt and use ePayment services more.Our empirical results also suggest that the effects of financial literacy on the adoption and use of ePayment differ among people with different behavioral traits.
文摘This study examines herding behavior in the Pakistani Stock Market under different market conditions,focusing on the Ramadan effect and Crisis period by using data from 2004 to 2014.Two regression models of Christie and Huang(Financ Analysts J 51:31-37,1995)and Chang et al.,(J Bank Finance 24:1651-1679,2000)are used for herding estimations.Results based on daily stock data reveal that there is an absence of herding behavior during rising(up)and falling(down)market as well as during high and low volatility in market.While herding behavior is detected during low trading volume days.Yearly analysis shows that herding existed during 2005,2006 and 2007,while it is not evident during rest of the period.However,herding behavior is not detected during Ramadan.Furthermore,during financial crisis of 2007-08,Pakistani Stock Market exhibits herding behavior due to higher uncertainty and information asymmetry.
文摘A model to explain the dynamic characters of earnings management was developed based on the interactionamong several firms’ disclosure policies. Under the condition of incomplete information, each firm’s earnings man-agement will be influenced by the earnings disclosure policies of other firms. It can lead to "herd behavior" of earningsmanagement. This paper studies the relationship between earnings manipulation and rights issue policy based on thedistribution of earnings after management. The results indicate that Chinese listed companies trend towards controllingROE in the narrow ranges just above 6% and 10% .Therefore, "herd behavior" exists in the earnings management.
基金supported by the National Nature Science Foundation under Grant No.71201124
文摘In the context of vigorously developing China's securities market institutional investors in the period of economic transition, this paper does the empirical research on the herd behavior from the view of the interaction between individual and institutional investors. This paper adopts the standard deviation of trading volume the cross-section to measure herd behavior. The results show that no matter what the market is in bull status and bear status, institutional investors perform herd behavior and with the expansion of the shareholding scale in a bull market, the herd behavior is higher, which suggests that the vigorous development of institutional investors has not eliminated herd behavior. This paper further confirms that there is the endogenous volatility in the market based on an artificial stock market. Finally it is demonstrated the herd behavior of institutional investors cause abnormal fluctuations in the market.
基金Project supported by the National Natural Science Foundation of China(Grant Nos.71932008 and 91546201).
文摘Artificial stock market simulation based on agent is an important means to study financial market.Based on the assumption that the investors are composed of a main fund,small trend and contrarian investors characterized by four parameters,we simulate and research a kind of financial phenomenon with the characteristics of pyramid schemes.Our simulation results and theoretical analysis reveal the relationships between the rate of return of the main fund and the proportion of the trend investors in all small investors,the small investors'parameters of taking profit and stopping loss,the order size of the main fund and the strategies adopted by the main fund.Our work is helpful to explain the financial phenomenon with the characteristics of pyramid schemes in financial markets,design trading rules for regulators and develop trading strategies for investors.
文摘The idea of this study is derived from observing the profitability of stock investments following the phenomena of continuously rising(or falling)prices of stocks and continuously overbought(or oversold)signals emitted by technical indicators.We employ the standard event study approach and technical trading strategies to explore whether investors would exploit profits in trading the constituent stocks of the Korea Composite Stock Price Index 50 and Shanghai Stock Exchange 50 when the aforementioned continuous phenomena occur.We find that both the Korean and Chinese stock markets are not fully efficient;this finding may enhance the robustness of the existing literature.In addition,we reveal that contrarian strategies are appropriate for the trading stocks listed on the Korean stock market for all the cases investigated in this study.However,momentum strategies are appropriate for the Chinese stock market when continuously rising stock prices and overbought signals are simultaneously observed.These findings imply that the difference in investor behaviors between the Korean and Chinese stock markets might result in dissimilar trading strategies being employed for these two markets.
基金supported by the Beijing Municipal Social Science Foundation(No.16JDYJB031)the Fundamental Research Funds for the Central Universities(No.2020YJ008).
文摘Tradable green certificate(TGC)scheme promotes the development of renewable energy industry which currently has a dual effect on economy and environment.TGC market efficiency is reflected in stimulating renewable energy investment,but may be reduced by the herding behavior of market players.This paper proposes and simulates an artificial TGC market model which contains heterogeneous agents,communication structure,and regulatory rules to explore the characteristics of herding behavior and its effects on market efficiency.The results show that the evolution of herding behavior reduces information asymmetry and improves market efficiency,especially when the borrowing is allowed.In addition,the fundamental strategy is diffused by herding evolution,but TGC market efficiency may be remarkably reduced by herding with borrowing mechanism.Moreover,the herding behavior may evolve to an equilibrium where the revenue of market players is comparable,thus the fairness in TGC market is improved.
文摘Herd behavior in financial markets often leads to unjustified macroscopic phenomena.However,despite existing studies on modeling herd behavior,how it varies across individual agents and over time remains unclear.We show that herd behavior in mutual fund companies can be understood from the functional networks representing interactions inferred from investment similarities.Specifically,in this paper,the spatial characteristics of herd behavior stand for the topology relationships of observations in networks.We analyze the collective dynamics of mutual fund investment from 2003 to 2019 in China using the language of network science and show that herding behavior accompanies this industry's development but dwindles after the 2015 Chinese market crash.By integrating community detection analysis,we found an increased degree of coherence in the collective herding behavior of the system,even though the localization of herding behavior decreases for clusters of mutual fund companies when the systemic risk builds up.Further analysis showed that herding behavior impacts the payoff of individual fund companies differently across years.The spatial-temporal changes of herding behavior between mutual funds presented in this paper shed light on the debate of individual versus systemic risk and,thus,could interest regulators and investors.
基金financial support from the National Social Science Foundation of China(16BGL004)
文摘Using the unique scheduled disclosure system for annual reports in China’s stock market,we examine within-industry herding behavior in annual report timing.The results reveal the waiting and following behavior strategies used in the annual reporting process within industry.Firms that originally schedule an early(late)disclosure date within their industry are more likely to reschedule to a later(earlier)date.Informational pressure is the dominant mechanism underlying herding in annual reporting,and capital market reputation incentives mainly induce the herding of bad news.Further analysis shows that delaying disclosure via the waiting strategy reduces the future occurrence of restatements,whereas bringing forward disclosure does not change the propensity of future restatements.Overall,we enrich the limited empirical studies on sequential mandatory disclosure decisions within industry.
文摘The main purpose of this paper is to explore the influence of predation on the spread of a disease developed in the prey population where we assume that the prey has a social behavior.The memory of the prey and the predator measured by the time fractional derivative plays a crucial role in modeling the dynamical response in a predator–prey interaction.This memory can be modeled to articulate the involvement of interacting species by the presence of the time fractional derivative in the considered models.For the purpose of studying the complex dynamics generated by the presence of infection and the time-fractional-derivative we split our study into two cases. The first one is devotedto study the effect of a non-selective hunting on the spread of the disease, where the localstability of the equilibria is investigated. Further the backward bifurcation is obtainedconcerning basic reproduction rate of the infection. The second case is for explaining theimpact of selecting the weakest infected prey on the edge of the herd by a predator onthe prevalence of the infection, where the local behavior is scrutinized. Moreover, for thegraphical representation part, a numerical simulation scheme has been achieved usingthe Caputo fractional derivative operator.