Yes, lots of social science studies have been done on it.
The book Influence: The Psychology of Persuasion by Dr. Robert Cialdini covers this (and similar) phenomenons in detail. Huge eye opener.
> I personally ignore any research from people in stock positions.
I (and everyone, if asked) agree that's the rational thing to do. But most people don't behave that way in practice, unfortunately.
I don't have a good solution, the law benefits people like you and I who will act correctly on the information, but hurts people who are vulnerable—those who acts incorrectly on the information.
There is a proxy between believing that the person who purchased the stock and disclosed the position as honest enough to put skin in the game for the company they believe in, and mistaking it for simply this person's confidence of their ability to fool others.
The book Influence: The Psychology of Persuasion by Dr. Robert Cialdini covers this (and similar) phenomenons in detail. Huge eye opener.
> I personally ignore any research from people in stock positions.
I (and everyone, if asked) agree that's the rational thing to do. But most people don't behave that way in practice, unfortunately.
I don't have a good solution, the law benefits people like you and I who will act correctly on the information, but hurts people who are vulnerable—those who acts incorrectly on the information.