• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.4
• /
• pp.135-143
• /
• 2021

Information has an essential role in decision-making for investors who will invest in financial markets, especially regarding the policies on the condition of COVID-19. The purpose of this study is to determine the market reaction to the information published by the government regarding the policy changes to the provisions of Trading Halt on the IDX in an emergency using the event study method. The population in this study was companies listed on the Indonesia Stock Exchange in March 2020; the sample selection technique was purposive sampling. Data analysis used a normality test and one sample T-test. The results of the study found that there were significant abnormal returns on the announcement date, negative abnormal returns around the announcement date, and significant trading volume activity occurring three days after the announcement. The existence of a significant positive abnormal return on the announcement date indicates that the market responds quickly to information published by the government. The practical implication of this research can be taken into consideration for investors in making investment decisions to analyze and determine the right investment options so that investors can minimize the risk of their investment and maximize the profits they want to achieve.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.4
• /
• pp.21-32
• /
• 2021

This paper aims to investigate the relationship between country-level institutional quality and public debt in the context of Pakistan. The hypotheses of this study were assessed by using the country-level institutional quality data for Pakistan throughout the years from 1996 to 2018. Data came from the World Databank, IMF and Worldwide Governance Indicators databases. For the analysis, ordinary least square, quantile regression and robust regression were employed to assess the factors influencing the public debt. The results of this study indicate that the factors of voice and accountability, regulatory quality, and control of corruption have a positive and significant relationship with public debt, while political stability, government effectiveness, and the rule of law have a negative and significant effect on public debt. Based on the findings, a weak country-level institutional quality poses a substantial market risk as it signals the existence of an unfavorable economic condition that raises public debt. It was also revealed that an improved performance of country-level institutional quality can lead to the improvement of financial market transparency, hence reduce public debt. In contrast to previous studies, the present study will be breaking ground in enhancing public insight regarding the impact of country-level institutional quality on Pakistan's public debt.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.3
• /
• pp.61-67
• /
• 2021

The covid-19 pandemic scenario caused the most extensive economic shocks the world has experienced in decades. Maintaining financial performance and economic stability is essential during the pandemic period. In these conditions, where movement is severely restricted, media consumption is considered to be increasing. The social media platform is one of the media online used by the public as a source of information and also expressing their sentiment, including individual investors in the capital market as social media users. Twitter is one of the social media microblogging platforms used by individual investors to share their opinion and get information. This study aims to determine whether microblogging sentiment investors can predict the capital market during pandemics. To analyze microblogging sentiment investors, we classified sentiment using the phyton text mining algorithm and Naïve Bayesian text classification into level positive, negative, and neutral from November 2019 to November 2020. This study was on 68 listed companies on the Indonesia stock exchange. A Vector Autoregression and Impulse Response is applied to capture short and long-term impacts along with a causal relationship. We found that microblogging sentiment investor has a significant impact on stock returns and volatility and vice-versa. Also, the response due to shocks is convergent, and microblogging investors in Indonesia are categorized as a "news-watcher" investor.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.3
• /
• pp.1217-1230
• /
• 2021

Using a multinomial logit model with the panel-data set of Vietnam manufacturing firms, this paper investigates the impacts of foreign direct investment (FDI) - small and medium enterprises (SMEs) linkages and other factors on SMEs' participation in the global value chain (GVC). We consider GVC firms are those engaging in any of the three modes including (i) using domestic inputs to export (D2E), (ii) using imported inputs to produce for the domestic market (I2P), (iii) using imported inputs to export (I2E). We discover that FDI-SME linkages statistically encourage Vietnamese SMEs to integrate into the GVC via I2P and I2E, while no statistical association between FDI-SME linkage and D2E participation is found. GVCs participation likelihood is also positively correlated with the introduction of new product introduction. The establishment of firms' production facilities in industrial zones and foreign ownership are both reported to be significantly decisive factors to SMEs' decisions on GVC participation. Besides, there is a strong association between firms' attributes, i.e. employment, capital intensity as well as financial access, and their participation in the GVC. Local governance quality (proxied by the Provincial Competitiveness Index) and the share of skilled labor at the province-level can facilitate firms' integration into GVCs, while greater market concentration may be a hurdle to such potential.

• The Journal of Asian Finance, Economics and Business
• /
• v.8 no.7
• /
• pp.91-101
• /
• 2021

The paper examines the impact of the COVID-19 pandemic on the stock market prices. The vector autoregression model (VAR) has been used in this analysis to survey 341 stocks on the Ho Chi Minh City Stock Exchange (HOSE) for the period from January 23, 2020 to December 31, 2020. The empirical results obtained from the analysis of 11 economic sectors suggest that there is a statistically significant impact relationship between COVID-19 and the healthcare and utility industries. Additional findings show a statistically significant negative impact of COVID-19 on the utility share price at lag 1. Analysis of impulse response function (IRF) and forecast error variance decomposition (FEVD) show an inverse reaction of utility stock prices to the impact of COVID-19 and a gradual disappearing shock after two steps. Major findings show that there is a clear negative effect of the COVID-19 pandemic on share prices, and the daily increase in the number of confirmed cases, indicate that, in future disease outbreaks, early containment measures and positive responses are necessary conditions for governments and nations to protect stock markets from excessive depreciation. Utility stocks are among the most severely impacted shares on financial exchanges during a pandemic due to the high risk of immediate or irreversible closure of manufacturing lines and poor demand for basic amenities.

• International Journal of Computer Science & Network Security
• /
• v.21 no.1
• /
• pp.70-76
• /
• 2021

The appearance of COVID-19 virus has affected many aspects of our life. These include and not limited to social, financial and economic changes. One of the most important impacts is the economic effects. Many countries have taken actions to continue the teaching process through online teaching platforms. The students are expected to graduate during the next few semesters with certificates that include some online-completed courses and their graduation certificates are called mixed certificates. This paper considers graduation mixed certificates with some online courses and its impact on graduates seeking jobs. First, we study how well the mixed certificates are accepted by job market. In other words, how different companies, organizations and even governmental entities would accept such certificates when hiring. We study the perception of job market for such certificates for different learning fields. Secondly, we study how well the online courses are accepted by the students keeping in mind that these students are used to traditional face to face teaching. Finally, we paper our results and recommendations according to the collected data from the surveys. Some of the results show that about 60% of companies don't have policies to encourage hiring graduates with mixed certificates. Also, colleges are almost divided evenly between preferring face to face and preferring online teaching.

• KDI Journal of Economic Policy
• /
• v.44 no.3
• /
• pp.1-26
• /
• 2022

This paper analyzes the effects of the cut in the legal maximum interest rate (from 27.4% to 24%) that occurred in February of 2018 on loan interest rates, the default rates, and the loan approval rate of borrowers in the non-banking sector. We use the difference-in-difference identification strategy to estimate the effect of the cut in the legal maximum interest rate using micro-level data from a major credit-rating company. The legal maximum rate cut significantly lowers the loan interest rate and default rate of low-credit borrowers (i.e., high-credit-risk borrowers) in the non-banking sector. However, this effect is limited to borrowers who have not been excluded from the market despite the legal maximum interest rate cut. The loan approval rate of low-credit borrowers decreased significantly after the legal maximum interest rate cut. Meanwhile, the loan approval rate of high-credit and medium-credit (i.e., low credit risk and medium credit risk) borrowers increased. This implies that financial institutions in the non-banking sector should reduce the loan supply to low-credit borrowers who are no longer profitable while increasing the loan supply to high- and medium-credit borrowers.

• The Journal of Asian Finance, Economics and Business
• /
• v.9 no.3
• /
• pp.195-202
• /
• 2022

This study investigates whether institutional investors increase or decrease the volatility of stock returns in the Thai stock market. For the purpose we used the data from SETSMART, a database provided by the Stock Exchange of Thailand (SET). Our sample is a balanced panel data covering 3,160 firm-year observations from 316 nonfinancial firms listed on the SET from 2011 to 2020. We analyze the link between institutional holdings and the volatility of stock returns by the pooled Ordinary Least Squares (OLS) model, the fixed effects model, and the random-effects model. In particular, we regress the stock return volatility on institutional ownership while controlling for firm size, financial leverage, growth opportunities, and stock turnover and accounting for industry effects and year effects. Our results indicate institutional investors' positive and significant influence on the volatility of the stock returns. Additionally, we performed the dynamic Generalized Method of Moment (GMM) estimator to alleviate concerns of possible endogeneity. The result still shows a positive impact of institutional investors on the volatility in stock returns. Overall, the findings of this study suggest that an increase in the volatility of stock returns in the Thai stock market may stem from a higher proportion of equity held by the institutional investors.

• Proceedings of the Korean Institute of Information and Commucation Sciences Conference
• /
• 2021.05a
• /
• pp.303-304
• /
• 2021

In the 21st century, as we enter the Fourth Industrial Revolution, research in various fields utilizing big data is being conducted, and innovative and useful technologies are constantly emerging in the world. Among several technologies recently in the big data era, among various fields utilizing some algorithms of artificial intelligence, it shines in the field of finance and is used for pin tech, financial fraud detection and risk management, etc., and recently Even in the booming stock market, it is used for investment prediction and investment factor analysis using artificial intelligence algorithm models. In this paper, we plan to investigate various research cases and investigate trends in how they are used in the stock market through artificial intelligence that utilizes big data.

• Korea Trade Review
• /
• v.47 no.5
• /
• pp.1-20
• /
• 2022

As a part of environmental pollution mitigation in China, the number of environmentally friendly vehicles in China is proliferating, attention to vehicles that use environmentally friendly energy continues to increase, and China's new energy vehicle market is also growing rapidly. Similar to existing research, the focus of the subsidy is to provide financial support for electric vehicle buyers and the expansion of new energy vehicle charging infrastructure. Under these circumstances, this study attempts to understand the influence of Chinese consumers' green responsibility and other psychological factors on electronic vehicle purchase intention based on norm activation theory and theory of planned behavior. PLS-SEM examined the proposed hypotheses with 369 valid Chinese consumers, and all were supported. Our findings contribute to the extension of the research scope of Chinese consumers' intention to purchase electric vehicles and provide practical information for domestic and foreign firms entering China, the world's largest electric vehicle market.