Economics at your fingertips  

Informative Social Interactions

Luc Arrondel (), Hector Calvo Pardo (), Chryssi Giannitsarou () and Michael Haliassos ()

No 14840, CEPR Discussion Papers from C.E.P.R. Discussion Papers

Abstract: Household finances are confidential and discussions are limited to a subset of peers. We collect representative survey data to examine whether interactions with inner and outer social circles influence return perceptions, expectations, and exposure to a widely known financial instrument in a developed economy with multiple information sources. Findings support the relevance of a small "financial circle". Perceived prevalence of information or participation in the financial circle improves expectation accuracy by improving accuracy of perceived past returns, and influences stock participation and exposure beyond expectations. Imitation of the outer circle, if present, is not based on return perceptions or expectations.

Keywords: household portfolio choice; Information networks; peer effects; Social interactions; subjective expectations (search for similar items in EconPapers)
JEL-codes: D12 D83 D84 G11 G5 (search for similar items in EconPapers)
Date: 2020-06
References: Add references at CitEc
Citations: Track citations by RSS feed

Downloads: (external link) (application/pdf)
CEPR Discussion Papers are free to download for our researchers, subscribers and members. If you fall into one of these categories but have trouble downloading our papers, please contact us at

Related works:
Working Paper: Informative Social Interactions (2019) Downloads
Working Paper: Informative social interactions (2019) Downloads
Working Paper: Informative Social Interactions (2016) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link:

Ordering information: This working paper can be ordered from ... rs/dp.php?dpno=14840

Access Statistics for this paper

More papers in CEPR Discussion Papers from C.E.P.R. Discussion Papers Centre for Economic Policy Research, 33 Great Sutton Street, London EC1V 0DX.
Bibliographic data for series maintained by ().

Page updated 2020-11-11
Handle: RePEc:cpr:ceprdp:14840