The Role of Information Signals in Determining Crowdfunding Outcomes

How are crowdfunding decisions impacted by information on existing backer numbers and funding progress? How do these effects differ for content-oriented projects (e.g., films) versus product-oriented projects (e.g., board games)?

Calvin Qiu, Jin-Hyuk Kim, and Peter Newberry investigate these effects by estimating a consumer choice model for project crowdfunding and simulating consumer decisions under different scenarios. Read their new article.

Find out more about the Journal of Empirical Finance.