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Stock Market Rumors and Investor Credibility by lilinze592356 is a document available to read on EtoBox.
The paper by Daniel Schmidt explores how stock prices can be influenced by unverified rumors, proposing a model where the credibility of information sharing depends on the investment horizon of the rumormonger. It finds that short-term investors are more likely to share truthful information, which can enhance market efficiency by accelerating the capitalization of information into prices. The study analyzes takeover rumors and suggests that such rumors often lead to actual merger bids, supporting the model
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- lilinze592356
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- EN