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Researchers Suggest That Investors Are More Influenced by News and Stock

Question 53

Multiple Choice

Researchers suggest that investors are more influenced by news and stock market tips during periods of rising and falling prices than during periods of relative stability. This is consistent with social psychological research concerning


A) social exchange theory and equity theory.
B) conformity and social comparison processes.
C) cognitive dissonance and self-perception theories.
D) contrast effects and excitation transfer.

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