Contagious popular stories, stock market participation, and boom–bust cycles

IF 4.4 2区数学 Q1 COMPUTER SCIENCE, INTERDISCIPLINARY APPLICATIONS

Mathematics and Computers in Simulation Pub Date : 2025-03-23 DOI:10.1016/j.matcom.2025.03.014

Sarah Mignot, Frank Westerhoff

引用次数: 0

Abstract

We study a model in which investors’ stock market participation hinges on contagious popular stories. Two opposing narratives exist that either advocate investing in the stock market or abstaining from it. Investors’ adherence to these narratives depends on the current behavior of the stock market and the social interactions among investors. For instance, stories that advocate investing in the stock market appear more plausible to investors during boom periods and when such behavior is common among peers. We identify different constellations in which waves of market entry and exit, driven by contagious popular stories, create boom–bust stock market dynamics.

查看原文本刊更多论文

我们研究了一个模型，在这个模型中，投资者对股市的参与取决于具有传染性的流行故事。目前存在两种截然相反的说法，一种主张投资股市，另一种主张放弃股市。投资者对这些说法的坚持取决于当前股市的行为和投资者之间的社会互动。例如，在经济繁荣时期，投资者更容易接受主张投资股市的故事，而且这种行为在同行中也很普遍。我们发现了不同的组合，在这些组合中，由具有传染性的流行故事推动的市场进入和退出浪潮创造了繁荣-萧条的股市动态。

本文章由计算机程序翻译，如有差异，请以英文原文为准。

求助全文

约1分钟内获得全文求助全文

来源期刊

Mathematics and Computers in Simulation 数学-计算机：跨学科应用

CiteScore

8.90

自引率

4.30%

发文量

335

审稿时长

54 days

期刊介绍： The aim of the journal is to provide an international forum for the dissemination of up-to-date information in the fields of the mathematics and computers, in particular (but not exclusively) as they apply to the dynamics of systems, their simulation and scientific computation in general. Published material ranges from short, concise research papers to more general tutorial articles. Mathematics and Computers in Simulation, published monthly, is the official organ of IMACS, the International Association for Mathematics and Computers in Simulation (Formerly AICA). This Association, founded in 1955 and legally incorporated in 1956 is a member of FIACC (the Five International Associations Coordinating Committee), together with IFIP, IFAV, IFORS and IMEKO. Topics covered by the journal include mathematical tools in: •The foundations of systems modelling •Numerical analysis and the development of algorithms for simulation They also include considerations about computer hardware for simulation and about special software and compilers. The journal also publishes articles concerned with specific applications of modelling and simulation in science and engineering, with relevant applied mathematics, the general philosophy of systems simulation, and their impact on disciplinary and interdisciplinary research. The journal includes a Book Review section -- and a "News on IMACS" section that contains a Calendar of future Conferences/Events and other information about the Association.