Herding Behaviours in Poland and Tanzania

Abstract

Over the years the USA markets have shown a strong resilient to herding behaviours while mixed results or consistent herding behaviours have been observed in other markets around the world. This study aimed at providing the most recent evidence of herding behaviours in two of such markets. Using data from Poland and Tanzania and CSAD approach, the findings showed no significant market herding behaviours in Poland during the period and during the up and down markets. Except for Informatics, all other industries showed significant industry herding behaviours and during the up and down markets. On the other hand, no market herding behaviours were observed in Tanzania during the period, during the up and down markets. No industrial herding behaviours were observed in the two industries. During this period Poland had experienced an increase in industry herding behaviours while Tanzania have experienced a decline in market herding behaviours in the market.