A Simultaneous Equations Analysis of Analysts’ Forecast Bias, Analyst Following, and Institutional Ownership
用联立方程模型分析美国数据，发现机构需求增加会导致分析师更乐观且关注度降低，而机构需求随分析师乐观程度增加而增加、随关注度增加而减少，并检验了公司特征的影响。
In this paper we use a simultaneous equations model to examine the relationship between analysts’ forecasts, analyst following, and institutions’ investment decisions. Estimates of our three equation model using US data indicate that higher institutional demand leads to greater optimism among analysts and lower analyst following. At the same time, institutional demand increases with increasing optimism in analysts’ forecasts but decreases with analyst following. We also investigate firm characteristics as determinants of analysts’ and institutions’ decisions. Empirical estimates of the effects of these characteristics indicate that agency‐driven behavioral considerations are significant.