Footnote:
In: Journal of Financial Economics (JFE), Forthcoming
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 28, 2010 erstellt
Description:
I study the effect of country-specific sentiment on security prices. I provide evidence that a country's popularity among Americans affects U.S. investors' demand for securities from that country and causes security prices to deviate from their fundamental values. Moreover, I find that country popularity is positively associated with the intensity of U.S. cross-border mergers and acquisitions activity, suggesting that country popularity also affects firms' investment decisions