title: Comparable stocks, boundedly rational stock markets and IPO entry rates.
abstract: In this study, we examine how initial public offerings (IPO) entry rates are affected when stock markets are boundedly rational and IPO firms infer information from their counterparts in the market. We hypothesize a curvilinear relationship between the number of comparable stocks and initial public offerings (IPO) entry rates into the NASDAQ Stock Exchange. Furthermore, we argue that trading volume and changes in stock returns partially mediates the relationship between the number of comparable stocks and IPO entry rates. The statistical evidence provides strong support for the hypotheses.
authors.affiliation: Keck Graduate Institute, Claremont, California, United States of America. Jay_Chok@kgi.edu
authors.forename: Jay
authors.initials: J
authors.lastname: Chok
authors.forename: Jifeng
authors.initials: J
authors.lastname: Qian
mesh_terms: D001519:Behavior; D003132:Commerce / Q000191:economics* / Q000379:methods; D003198:Computer Simulation; D006801:Humans; D018803:Models, Economic; D012961:Sociology