Examination of impact of COVID-19 on stock market: evidence from American peninsula

Ali Amin, Muhammad Arshad, Naheed Sultana and Rabeeya Raoof

Journal of Economic and Administrative Sciences, 2021, vol. 38, issue 3, 444-454

Abstract: Purpose - The rapid spread of COVID-19 has dramatic effects on financial market across the globe. This study analyzes the relationship between the COVID-19 cases, age and stock market indexes in Central America, North America, and South America. Design/methodology/approach - The panel regression analysis on three regions from March 10, 2020 to April 9, 2020 was conducted to test the hypothesized model. The authors used Levinet al.’s (2002) panel data unit root test to check the stationarity, and Hausman (1978) test was applied to determine the random and fixed effects. Findings - The authors’ panel regression results indicate that the COVID-19 cases have a negative impact on stock indexes, whereas the age has a positive impact on the stock indexes. The region-wise analysis supports the panel finding except for South America, which shows an insignificant association between stock indexes and COVID-19 cases. Originality/value - The study supplements the literature by examining the impact of pandemics on stock indexes and focus on three multicultural regions, comprising developed, developing and emerging countries, which are hitherto unaddressed.

Keywords: COVID-19; Stock markets; Age; Central America; North America; South America (search for similar items in EconPapers)
Date: 2021
References: Add references at CitEc
Citations: View citations in EconPapers (1)

Downloads: (external link)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (text/html)
https://www.emerald.com/insight/content/doi/10.110 ... d&utm_campaign=repec (application/pdf)
Access to full text is restricted to subscribers

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eme:jeaspp:jeas-07-2020-0127

DOI: 10.1108/JEAS-07-2020-0127

Access Statistics for this article

Journal of Economic and Administrative Sciences is currently edited by Associate Professor Ghulam A Arain and Dr Rebecca Abraham

More articles in Journal of Economic and Administrative Sciences from Emerald Group Publishing Limited
Bibliographic data for series maintained by Emerald Support ().