Echo Chambers

• 成果类型: Article
• 署名作者: Cookson, J. Anthony; Engelberg, Joseph E.; Mullins, William
• 署名单位: University of Colorado System; University of Colorado Boulder; University of California System; University of California San Diego
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhac058
• 发表日期: 2023
• 页码: 450
• 关键词: selective exposure; Investor sentiment; stock returns; SOCIAL-MEDIA; INFORMATION; news; underreaction; divergence; consistent; attention

摘要

We find evidence of selective exposure to confirmatory information among 400,000 users on the investor social network StockTwits. Self-described bulls are five times more likely to follow a user with a bullish view of the same stock than are self-described bears. Consequently, bulls see 62 more bullish messages and 24 fewer bearish messages than bears do over the same 50-day period. These echo chambers exist even among professional investors and are strongest for investors who trade on their beliefs. Finally, beliefs formed in echo chambers are associated with lower ex post returns, more siloing of information, and more trading volume.