Big Data: Epistemological Reflections and Impacts in Finance and Capital Market Studies
DOI:
https://doi.org/10.17524/repec.v11i4.1634Keywords:
Big Data, Abductive Method, Epistemology, FinanceAbstract
Objective and method: Access to data series plays a central role in the area of Finance. The increasing availability of large volumes of data, in different formats and at high frequency, combined with the technological advances in data storage and processing tools, have created a new scenario in academic research in general, and in Finance in particular, generating new opportunities and challenges. Among these challenges, methodological issues emerge, which are widely discussed among researchers from different areas, but also epistemological issues that deserve greater space for discussion. Thus, the objective of this theoretical essay is to analyze the conceptual and epistemological aspects of the use of intensive data and its reflections for the area of Finance. Results and contributions: We consider that the hypothetical-deductive method of empirical research, which is the most recurrent, limits the construction of knowledge in the socalled 'Big data era', as this approach starts from an established theory and restricts research to testing the hypothesis(es) proposed. We advocate the use of an abductive approach, as argued in Haig (2005), which converges with the ideas of grounded theory and which seems to be the most appropriate approach to this new context, as it permits greater capacity to collect value information for the data.References
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