Panic bank runs, global market contagion and the financial consequences of social media

Oluwatoyin Esther Dosumu, Rilwan Sakariyahu, Olayinka Oyekola and Rodiat Lawal

Economics Letters, 2023, vol. 228, issue C

Abstract: This paper provides empirical analysis on how social media amplifies bank runs, using the recent bank turmoil in the US. Employing data for 94 countries, our findings show that social media provides a conduit through which an immediate negative and significant impact of the bank crisis transmits across global investor sentiments and market outcomes. The results also indicate a significant spill-over influence of the turmoil on European and G7 economies, while there appears to be no significant impact on major markets in Asia and Africa.

Keywords: Bank run; Investor sentiment; Global markets; Social media; Contagion (search for similar items in EconPapers)
JEL-codes: C7 C9 G10 G12 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (8)

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0165176523001957
Full text for ScienceDirect subscribers only

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:eee:ecolet:v:228:y:2023:i:c:s0165176523001957

DOI: 10.1016/j.econlet.2023.111170

Access Statistics for this article

Economics Letters is currently edited by Economics Letters Editorial Office

More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().