OLIVAREZ COLLEGE TAGAYTAY
E-Library
ONLINE PUBLIC ACCESS CATALOG

The value of investors being in a deliberative mindset when reading news later revealed to be fake / Stephanie Grant, Frank Hodge and Samantha Seto

By: Contributor(s): Material type: TextTextDescription: Vol 9 (1) pages 73-94 : illustrations ; 28 cmISSN:
  • 2380-2154
Uniform titles:
  • Journal of Financial Reporting / Spring 2024
Subject(s):
List(s) this item appears in: Periodical index
Tags from this library: No tags from this library for this title. Log in to add tags.
Star ratings
    Average rating: 0.0 (0 votes)
No physical items for this record

ABSTRACT:

Investors face a difficult challenge in determining whether news they read is true or fake and, according to psychology theory, an additional challenge of ceasing to rely on news subsequently revealed to be fake. To help address this latter challenge, we examine whether prompting investors to be in a deliberative mindset reduces their reliance on news after they learn that it is fake without affecting their reliance on news later revealed to be true.

Consistent with theory, investors adjust their valuation assessments when news is later revealed to be fake, and this adjustment is magnified for investors in a deliberative mindset. Importantly, our results reveal that a deliberative mindset does not cause investors to discount news later revealed to be true.

There are no comments on this title.

to post a comment.