Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments
The main purpose of this study is to investigate the causality of the behavioral bias ‘herding’ that was traced down to both social and normative influences. An experimental method was developed to test 125 participants studying finance. The experiment provides a total of 6 houses in which the parti...
| Main Authors: | , |
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| Format: | Article |
| Language: | Indonesian |
| Published: |
Petra Christian University
2019-11-01
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| Series: | Jurnal Akuntansi dan Keuangan |
| Subjects: | |
| Online Access: | http://jurnalakuntansi.petra.ac.id/index.php/aku/article/view/21040 |
| _version_ | 1818876169857007616 |
|---|---|
| author | Sofian Arif Susanto Njo Anastasia |
| author_facet | Sofian Arif Susanto Njo Anastasia |
| author_sort | Sofian Arif Susanto |
| collection | DOAJ |
| description | The main purpose of this study is to investigate the causality of the behavioral bias ‘herding’ that was traced down to both social and normative influences. An experimental method was developed to test 125 participants studying finance. The experiment provides a total of 6 houses in which the participants were instructed to appraise to a value that meets their willingness to purchase. The subjects were treated with social and normative influences and their valuation shifts were observed. In total, three valuations were recorded, labeled ‘initial’, ‘social’, and ‘normative’ valuations respectively. Our findings showed that the undergraduates were susceptible to both social and normative influences. However, further analysis showed that some external factors had a role in causing the herding behavior. |
| first_indexed | 2024-12-19T13:38:07Z |
| format | Article |
| id | doaj.art-4bd18573c32541978164facc034918fa |
| institution | Directory Open Access Journal |
| issn | 1411-0288 2338-8137 |
| language | Indonesian |
| last_indexed | 2024-12-19T13:38:07Z |
| publishDate | 2019-11-01 |
| publisher | Petra Christian University |
| record_format | Article |
| series | Jurnal Akuntansi dan Keuangan |
| spelling | doaj.art-4bd18573c32541978164facc034918fa2022-12-21T20:19:07ZindPetra Christian UniversityJurnal Akuntansi dan Keuangan1411-02882338-81372019-11-012129010010.9744/jak.21.2.90-10019607Herding Behavior and Decision-Making within the Middle – Class Residential Property InvestmentsSofian Arif Susanto0Njo Anastasia1Petra Christian UniversityFinance Management Department, Faculty of Business and Economics, Petra Christian University, Siwalankerto 121-131, Surabaya 60236, IndonesiaThe main purpose of this study is to investigate the causality of the behavioral bias ‘herding’ that was traced down to both social and normative influences. An experimental method was developed to test 125 participants studying finance. The experiment provides a total of 6 houses in which the participants were instructed to appraise to a value that meets their willingness to purchase. The subjects were treated with social and normative influences and their valuation shifts were observed. In total, three valuations were recorded, labeled ‘initial’, ‘social’, and ‘normative’ valuations respectively. Our findings showed that the undergraduates were susceptible to both social and normative influences. However, further analysis showed that some external factors had a role in causing the herding behavior.http://jurnalakuntansi.petra.ac.id/index.php/aku/article/view/21040behaviorherdingsocial influencenormative influenceinformation cascade |
| spellingShingle | Sofian Arif Susanto Njo Anastasia Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments Jurnal Akuntansi dan Keuangan behavior herding social influence normative influence information cascade |
| title | Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments |
| title_full | Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments |
| title_fullStr | Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments |
| title_full_unstemmed | Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments |
| title_short | Herding Behavior and Decision-Making within the Middle – Class Residential Property Investments |
| title_sort | herding behavior and decision making within the middle class residential property investments |
| topic | behavior herding social influence normative influence information cascade |
| url | http://jurnalakuntansi.petra.ac.id/index.php/aku/article/view/21040 |
| work_keys_str_mv | AT sofianarifsusanto herdingbehavioranddecisionmakingwithinthemiddleclassresidentialpropertyinvestments AT njoanastasia herdingbehavioranddecisionmakingwithinthemiddleclassresidentialpropertyinvestments |