THE DIDMCA EFFECT (1980)

2001 2002 2004 2006

Hirshleifer Daniel Andrew Lo Tseng

Investors follow “herd Investors tend to rely Adaptive Market Combines the traditional
Instinct” on the masses or more Hypothesis efficient market on of
experienced market New framework that decision-making under
players’ decisions investors tend to rely on the uncertainty and neural
masses or more experienced finance.
market players’ decisions
 THE DIDMCA EFFECT (1980)

2007 2009 2010 2013

Subrahmanyam Monti And Legrenzi Bloomfield Uzar and Akkaiya

The financial behavior Relationship between Compares the Analyzed that behavioral
properly supplements investment decision behavioural and finance is based on the
traditional financial making and hindsight traditional finance notion of “Bounded
theories bias approach in explaining Rationality”
market inefficiencies.

GLOBAL FINANCIAL CRISIS | 2008