Social influences are pervasive in financial markets. We investigate a simple experimental Arrow-Debreu economy to perform controlled tests of a broad set of hypotheses about the effect of information about peer behavior on market outcomes and risk sharing. In the absence of peer information, we find large deviations from a salient risk sharing benchmark in both prices and portfolios. Risk sharing improves with peer information, although this effect virtually disappears when the highest earners are made salient. We find evidence that observational learning, preferences for relative position and spillovers in risk preferences all affect market outcomes.
JEL-codes: D53, D83, G11.
Keywords: peer effects, laboratory experiments, risk taking, asset markets.
학회소식
[2016년 제 4차] Peer Effects and Risk Sharing in Experimental Asset
작성자 : 관리자
조회수 : 843
게시일 :
2016-12-21
