Industries' heterogeneous reactions during the COVID-19 outbreak: Evidence from Chinese stock markets

IF 9.4 3区 管理学 Q1 BUSINESS, FINANCE Journal of International Financial Management & Accounting Pub Date : 2022-11-02 DOI:10.1111/jifm.12166
Zhifeng Liu, Peng-Fei Dai, Toan L. D. Huynh, Tingting Zhang, Guoqing Zhang
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引用次数: 36

Abstract

This study examines the heterogeneous effects of the COVID-19 outbreak on stock prices in China. We confirm what is already known, that the pandemic has had a significant negative impact on stock market returns. Additionally, we find, this effect is heterogeneous across industries. Second, fear sentiment can directly cause stock prices to fall and panic exacerbates the negative impact of the pandemic on stock returns. Third, and most importantly, we demonstrate the underlying mechanisms of four firm characteristics and find that those with high asset intensity, low labor intensity, high inventory-to-revenue ratio, and small market value are more negatively affected than others. For labor-intensive state-owned firms, in particular, stock performance worsened because of higher idle labor costs. Finally, we created an index to measure the relative position of an industry in the supply chain, which shows that downstream companies were more vulnerable to the effects of the pandemic.

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COVID - 19爆发期间各行业的异质反应:来自中国股市的证据
摘要本研究考察了COVID - 19疫情对中国股票价格的异质性影响。我们确认已知的情况,即疫情对股市回报产生了重大负面影响。此外,我们发现,这种影响在不同的行业是不同的。第二,恐惧情绪会直接导致股价下跌,恐慌情绪会加剧疫情对股票收益的负面影响。第三,也是最重要的一点,我们展示了四个企业特征的潜在机制,并发现那些高资产强度、低劳动强度、高库存收入比和小市值的企业比其他企业受到的负面影响更大。特别是对于劳动密集型国有企业,由于闲置劳动力成本上升,股票表现恶化。最后,我们创建了一个指数来衡量一个行业在供应链中的相对位置,该指数表明,下游企业更容易受到疫情的影响。
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来源期刊
CiteScore
9.10
自引率
2.00%
发文量
23
期刊介绍: The Journal of International Financial Management & Accounting publishes original research dealing with international aspects of financial management and reporting, banking and financial services, auditing and taxation. Providing a forum for the interaction of ideas from both academics and practitioners, the JIFMA keeps you up-to-date with new developments and emerging trends.
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