Socionomics

Dictionary Says

Definition of 'Socionomics'


The study of the relationship between social mood and social behavior pioneered by Robert R. Prechter, Jr. Socionomic theory proposes that social mood influences the aggregate character of social actions, such as those found in the economy, financial markets and politics.

Investopedia Says

Investopedia explains 'Socionomics'


Socionomics can be applied to many areas of social activity. The socionomic perspective frequently differs from that offered by conventional observers of society. Prechter has noted the following, for example:

Conventional observers often imply that rising markets make investors optimistic. Socionomic theory proposes that optimistic investors make markets rise.

Conventional observers often imply that recessions result in more cautious business practices. Socionomic theory proposes that more cautious business practices result in recessions.

Conventional observers often imply that scandals outrage the public. Socionomic theory proposes that an outraged public seeks scandals.

comments powered by Disqus
Hot Definitions
  1. Private Equity

    Equity capital that is not quoted on a public exchange. Private equity consists of investors and funds that make investments directly into private companies or conduct buyouts of public companies that result in a delisting of public equity.
  2. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  3. Valuation

    The process of determining the current worth of an asset or company. There are many techniques that can be used to determine value, some are subjective and others are objective.
  4. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  5. Tech Street

    A term used in the financial markets and the press to refer to the technology sector. Companies like Intel, Microsoft, Apple and Dell are all considered to be part of Tech Street.
  6. Momentum Investing

    An investment strategy that aims to capitalize on the continuance of existing trends in the market. The momentum investor believes that large increases in the price of a security will be followed by additional gains and vice versa for declining values.
Trading Center