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Complexity Digest 2008.38 - 01
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18-Sept-2008

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Science Unveils Hidden Drivers Of Stock Bubbles And Crashes, PhysOrg.com
 









Excerpts: Many economists believe that investors make decisions rationally,
weighing up corporate data and other pricing signals to evaluate gain or risk
before buying or selling stocks.   But this keystone belief in how markets
function is now under mounting attack after this month's global stocks crash,
the latest in a string of financial shocks over the past two decades.  
Proponents of rival concepts say that primitive emotions, herd mentality and
raging hormones are among the invisible motors that help inflate an asset bubble
and then prick it. 
Source: Science Unveils Hidden Drivers Of Stock Bubbles And Crashes[
http://www.physorg.com/news141015420.html ], PhysOrg.com, 08/09/19

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