Stock liquidity during COVID-19 crisis: A cross-country analysis of developed and emerging economies, and economic policy uncertainty

Title
Stock liquidity during COVID-19 crisis: A cross-country analysis of developed and emerging economies, and economic policy uncertainty
Publication Date
2023-06
Author(s)
Al Farooque, Omar
( author )
OrcID: https://orcid.org/0000-0002-6346-1125
Email: ofarooqu@une.edu.au
UNE Id une-id:ofarooqu
Baghdadi, Ghasan
Trinh, Hai Hong
Khandaker, Sarod
Type of document
Journal Article
Language
en
Entity Type
Publication
Publisher
Elsevier BV
DOI
10.1016/j.ememar.2023.101025
UNE publication id
une:1959.11/55348
Abstract

We investigate the impact of the COVID-19 on firms' stock liquidity across six developed and emerging economies. Unlike prior literature, we further compare the effects of the pandemic between developed and emerging economies, high and low economic policy uncertainty (EPU), and large and small firms. Our results document the significant negative impact of infection cases and deaths on firms' stock liquidity across the sample countries, and the similar effect of their interaction term. We find that the impact is more pronounced in the developed economies, high EPU and small firms, compared to emerging economies, low EPU and large firms, respectively.

Link
Citation
Emerging Markets Review, v.55, p. 1-17
ISSN
1873-6173
1566-0141
Start page
1
End page
17

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