Central Bank Independence and stock market outcomes: An event study on Borsa Istanbul

Autor:	Ahmad Bash, Abdullah M. Al-Awadhi
Jazyk:	angličtina
Rok vydání:	2023
Předmět:	Central bank event study methodology stock market returns Borsa Istanbul G2 G4 Finance HG1-9999 Economic theory. Demography HB1-3840
Zdroj:	Cogent Economics & Finance, Vol 11, Iss 1 (2023)
Druh dokumentu:	article
ISSN:	23322039 2332-2039
DOI:	10.1080/23322039.2023.2186032
Popis:	AbstractThis study explores the importance of central bank independence on stock market outcomes. Specifically, we examine the effects of President Recep Tayyip Erdogan’s decree, which removes the top officials of the Central Bank of Turkey, on Borsa Istanbul returns. We use a well-established event study methodology for five events from 20 July 2018, to 11 November 2021. The results show that the market is sensitive to the dismissal decrees in that they have positive effects on cumulative abnormal returns in the first two events, while the three events that follow have negative effects on cumulative abnormal returns. Our results support the importance of central bank independence, revealing that political intervention in central banks has a robust, positive, negative, and significant impact on stock market outcomes.
Databáze:	Directory of Open Access Journals
Externí odkaz:	https://doaj.org/article/3a5a08673a7f402d82c50c7b5f173541 Zobrazit plný text záznamu View record in DOAJ Plný text ve formátu PDF Plný text ve formátu HTML
Nepřihlášeným uživatelům se plný text nezobrazuje	K zobrazení výsledku je třeba se přihlásit.