Studying the diffusion of responsibility in relation to stock market non-participation

  • Sylvain Thöni Radboud University

Abstract

In the light of the equity premium, stock market nonparticipation
remains a puzzling phenomenon. Policy
makers seeking to address non-participation, by providing
investment advice, might however crowd out informal
financial advisors due to the bystander effect; the inverse
relation between the number of actors able to provide aid
and the actual readiness of any individual to provide aid. A
between subject survey was used to test willingness to give
financial advice based on the presence of bystanders.
Employing Mann-Whitney tests and a logit regression
model, I find that the presence of bystanders does lower
individual tendency to give financial advice.

How to Cite
THÖNI, Sylvain. Studying the diffusion of responsibility in relation to stock market non-participation. Student Undergraduate Research E-journal!, [S.l.], v. 5, p. 1-4, dec. 2019. ISSN 2468-0443. Available at: <https://journals.open.tudelft.nl/sure/article/view/4225>. Date accessed: 06 july 2020. doi: https://doi.org/10.25609/sure.v5.4225.
Published
2019-12-09