Emerging markets literature reveals that capital market liberalisation transforms segmented stock markets into more integrated ones. However further impact should be expected on the dynamics of the rest of the domestic economy and its relation to stock markets. This study presents evidence to...

This study aims to investigate the individual behavior that underlies the overreaction hypothesis by conducting a controlled experiment. Two areas that were not captured by previous research on the validity of the overreaction hypothesis are investigated. First, actual portfolio managers are...

We report international evidence for the presence of stock return rebounds following extreme falls in market indices. The data consists of weekly national index returns for 21 world markets. A non-linear time series model is used to capture part of the variation in return autocorrelations across...