Institutional Change and Investor Behavior: An Empirical Study of the Chinese Stock Market

Author: Lu Hua
Publisher:
Publish Date: 2006-07-01
Features: The formation of the Chinese stock market is a product of the integration of China's share system reform and financial system reform. After more than a decade of development, the Chinese stock market has become an important component of the national economy. Investors are one of the important micro-subjects in the stock market, and the vast investor base has become a special and important participating group in China's economic life. Based on the theoretical model of institutional-behavior interaction, this book employs behavioral finance theory, new institutional economics, and sociological theory to comprehensively and systematically study the interactive relationship between the institutional changes of the Chinese stock market and investor behavior. Through an examination of the Chinese stock market, the author reveals the interactive mechanisms between the two, making this research highly exploratory. The book is logically structured, well-supported by data, insightful in analysis, and rich in theoretical depth. At the same time, it comprehensively applies research findings from multiple disciplines, such as drawing on the results of behavioral finance theory. It conducted questionnaire surveys in several provinces and cities to test the decision-making characteristics of individual investors in the Chinese stock market and drew corresponding conclusions. It also draws on the bargaining model in sociology to explore the impact of investors' behavioral logic and government administrative logic on stock market changes. These research findings all hold theoretical innovation value.