Diffusion of Investor Sentiment Considering Hesitating and Forgetting Mechanism

Abstract

Excessively optimistic and negative investor sentiment will affect the stability of stock market. In this paper, we investigate investor sentiment diffusion considering hesitating and forgetting mechanism on homogeneous network. Different from previous studies, we introduce the exponent form forgetting rate into SEIR model and figure out the basic reproduction number and existence of equilibrium point. Meantime, the locally \u00a0asymptotic \u00a0stability \u00a0and \u00a0global \u00a0stability \u00a0of \u00a0internal \u00a0equilibrium \u00a0point \u00a0are \u00a0established. \u00a0Finally, \u00a0we illustrate \u00a0the \u00a0impact \u00a0of \u00a0forgetting \u00a0rate \u00a0on \u00a0the \u00a0investor \u00a0sentiment \u00a0diffusion \u00a0through \u00a0carrying \u00a0out \u00a0numerical simulations. \u00a0