Economics · Behavioral Finance

Which irrational behavior of investors involves following the actions of a larger group or crowd, often leading to stock market bubbles and crashes?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1Overconfidence bias
2Herding✓
3Anchoring bias
4Loss aversion

Correct answer

Herding

Download Single Question PDF

Save this question and verified answer as a clean study sheet with live clickable link.

👥

Share with Friends & Study Groups

Challenge your peer aspirants on WhatsApp or Telegram to solve this question!

Online Test Series

Preparing for Economics?

Practice full-length mock tests with real exam timers, instant score analysis, and all-India ranking.

Start Free Mock Test →

Chapter Practice

Want more practice questions on Behavioral Finance?

Solve complete topic-wise tests with detailed solutions on GkGet.

Practice Behavioral Finance MCQs →

Recommended practice questions in Economics · Behavioral Finance

Browse More Economics →

Which of the following events is considered a major turning point that fueled Indian nationalism during British rule due to its brutal nature and widespread condemnation?

Solve Question→

Which of the following events is considered the first major peasant uprising against the British in India?

Solve Question→

Which irrational behavior of investors involves following the actions of a larger group or crowd, often leading to stock market bubbles and crashes?

Download Single Question PDF

Share with Friends & Study Groups

Preparing for Economics?

Practice by Subject

Practice by Exam

Topic-Wise Solved Questions

Which irrational behavior of investors involves following the actions of a larger group or crowd, often leading to stock market bubbles and crashes?

Download Single Question PDF

Share with Friends & Study Groups

Preparing for Economics?

Related Practice Questions

Practice by Subject

Practice by Exam

Topic-Wise Solved Questions