Aug
5th
2005
Psychology and Stockmarkets
Metaphors can move markets, or so says some interesting research reported in The Economist last week.
The students were asked to predict the performance of the NASDAQ index after seeing a chart and a short description of the previous day’s movement. When the description contained agent metaphors, they predicted more of the same (up or down) than they did when it contained no metaphors or only “object†(inanimate) ones.
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