This 33-page .pdf IMF paper provides an overview of recent theoretical and empirical research on herd behavior in financial markets. It addresses the following questions: What precisely do we mean by herding? What could be the causes of herd behavior? What successes hav existing studies had in identifying such behavior? And what effect does herding have on financial markets?
Author: Sushil Bikhchandani, Sunil Sharma
Source: IMF
Subject: Finance, Market/Investment
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