Social interaction and stock-market participation

• 成果类型: Article
• 署名作者: Hong, H; Kubik, JD; Stein, JC
• 署名单位: Princeton University; Syracuse University; Harvard University
• 刊物名称: JOURNAL OF FINANCE
• ISSN/ISSBN: 0022-1082
• DOI: 10.1111/j.1540-6261.2004.00629.x
• 发表日期: 2004
• 页码: 137-163
• 关键词: home bias; preference; BEHAVIOR

摘要

We propose that stock-market participation is influenced by social interaction. In our model, any given social investor finds the market more attractive when more of his peers participate. We test this theory using data from the Health and Retirement Study, and find that social households-those who interact with their neighbors, or attend church-are substantially more likely to invest in the market than non-social households, controlling for wealth, race, education, and risk tolerance. Moreover, consistent with a peer-effects story, the impact of sociability is stronger in states where stock-market participation rates are higher.