About this paper

Appears in:
Pages: 6539-6548
Publication year: 2013
ISBN: 978-84-616-3847-5
ISSN: 2340-1095

Conference name: 6th International Conference of Education, Research and Innovation
Dates: 18-20 November, 2013
Location: Seville, Spain

A CLASSROOM EXPERIMENT ON THE THEORY OF EFFICIENT FINANCIAL MARKET

P. Hernández-Rojas, A. Rodrigo-González

Valencia University (SPAIN)
This paper presents an experiment on theory of efficient financial market run in a classroom of advanced financial theory in the degree on Business and Administration. The experimental design follows Park (2011). We introduce two major differences regarding Park’s work. The first one related to the development of the call double auction market: students played four consecutive trading sessions of five minutes each, and before and after trading they updated their beliefs to give an estimate on the fundamental value of the traded asset. Students’ estimates allow us to construct the demand and supply curves, and compute the corresponding clearing market price. The second one related to the discussion of results from experimental session. Students were asked to answer two questionnaires about the topic of the experiment and declare the level of self-confidence on their own scoring. It was very useful to guide the discussion and reinforce students’ learning.
@InProceedings{HERNANDEZROJAS2013ACL,
author = {Hern{\'{a}}ndez-Rojas, P. and Rodrigo-Gonz{\'{a}}lez, A.},
title = {A CLASSROOM EXPERIMENT ON THE THEORY OF EFFICIENT FINANCIAL MARKET},
series = {6th International Conference of Education, Research and Innovation},
booktitle = {ICERI2013 Proceedings},
isbn = {978-84-616-3847-5},
issn = {2340-1095},
publisher = {IATED},
location = {Seville, Spain},
month = {18-20 November, 2013},
year = {2013},
pages = {6539-6548}}
TY - CONF
AU - P. Hernández-Rojas AU - A. Rodrigo-González
TI - A CLASSROOM EXPERIMENT ON THE THEORY OF EFFICIENT FINANCIAL MARKET
SN - 978-84-616-3847-5/2340-1095
PY - 2013
Y1 - 18-20 November, 2013
CI - Seville, Spain
JO - 6th International Conference of Education, Research and Innovation
JA - ICERI2013 Proceedings
SP - 6539
EP - 6548
ER -
P. Hernández-Rojas, A. Rodrigo-González (2013) A CLASSROOM EXPERIMENT ON THE THEORY OF EFFICIENT FINANCIAL MARKET, ICERI2013 Proceedings, pp. 6539-6548.
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