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A SOCIAL PSYCHOLOGICAL APPROACH TO THE STOCK MARKET
Author(s) -
Rose Arnold M.
Publication year - 1966
Publication title -
kyklos
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.766
H-Index - 58
eISSN - 1467-6435
pISSN - 0023-5962
DOI - 10.1111/j.1467-6435.1966.tb02506.x
Subject(s) - boom , affect (linguistics) , stock market , economics , business , marketing , psychology , social psychology , paleontology , communication , horse , environmental engineering , engineering , biology
SUMMARY Social psychological factors affecting prices on markets are of two orders: The non‐economic but objective influences, such as propaganda, rumors, incorrect news, etc. which affect the individual buyer or seller; the ‘subjective’ definition of the situation with which the individual integrates all the relevant ‘information’ and which provides him motivation for his actions. These are analyzed and exemplified in this paper, based on informal interviews with persons participating in two American exchanges and on the published literature. The setting of the brokers’ offices and of the ‘floor’ of the exchange is also considered as a source of social psychological influences on the market participants. Special consideration is given to booms and panics.