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Sand in My Eyes Fled Effect: An Evidence from Saudi Arabia

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Economy, Finance and Business in Southeastern and Central Europe

Part of the book series: Springer Proceedings in Business and Economics ((SPBE))

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Abstract

Psychological, cultural, religious and environmental factors affect human decisions and sometimes cause irrational behaviours. Even this is a common truth, traditional economics claims human is rational and many economic theories based on this idea. Behavioural Finance and Behavioural Economics go against this main assertion and postulates human has bounded rationality.

This study investigates influences of the daily weather conditions such as mean and maximum air temperatures, mean and maximum air humidity values and Apparent Temperature Index (ATI) on Riyadh Stock Exchange.

Granger Causality Modelhas been applied to these data, and found that daily mean water vapour pressure and daily maximum air temperature variables of the daily weather have affected the Riyad Stock Exchange returns.

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Author information

Authors and Affiliations

  1. School of Applied Sciences, Çanakkale Onsekiz Mart University, Çanakkale, Turkey

    Ekrem Tufan

  2. Faculty of Tourism, Çanakkale Onsekiz Mart University, Çanakkale, Turkey

    Bahattin Hamarat

  3. Center for Climate Change and Policy Studies, Boğaziçi University, Istanbul, Turkey

    Murat Türkeş

  4. Private Sector Programmes Institute of Public Administration, Riyadh, Saudi Arabia

    Ahmed Abdullah Al-Zahrani

Authors
  1. Ekrem Tufan
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  2. Bahattin Hamarat
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  3. Murat Türkeş
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  4. Ahmed Abdullah Al-Zahrani
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Corresponding author

Correspondence to Ekrem Tufan .

Editor information

Editors and Affiliations

  1. Eastern Macedonia and Thrace, Institute of Technology, Kavala, Greece

    Anastasios Karasavvoglou

  2. Faculty of Economics, University of Split, Split, Croatia

    Srećko Goić

  3. Central Macedonia, Institute of Technology, Serres, Greece

    Persefoni Polychronidou

  4. Eastern Macedonia and Thrace, Institute of Technology, Kavala, Greece

    Pavlos Delias

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Tufan, E., Hamarat, B., Türkeş, M., Al-Zahrani, A.A. (2018). Sand in My Eyes Fled Effect: An Evidence from Saudi Arabia. In: Karasavvoglou, A., Goić, S., Polychronidou, P., Delias, P. (eds) Economy, Finance and Business in Southeastern and Central Europe. Springer Proceedings in Business and Economics. Springer, Cham. https://doi.org/10.1007/978-3-319-70377-0_25

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