Pandemic uncertainty and firm investments

Li Zhang, Shiwei Hu and Guoli Xu

Finance Research Letters, 2023, vol. 55, issue PA

Abstract: Exploiting the World Uncertainty Index, we analyze the real impact of pandemic-related uncertainty on firm investments in a cross-country setting. Our findings show that high levels of pandemic uncertainty are negatively associated with firm investments. The adverse effect of pandemic uncertainty is substantially greater in financially constrained firms or small ones.

Keywords: Pandemic uncertainty; Investment; Financial constraint (search for similar items in EconPapers)
JEL-codes: D81 G31 (search for similar items in EconPapers)
Date: 2023
References: View references in EconPapers View complete reference list from CitEc
Citations:

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S1544612323002969
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:finlet:v:55:y:2023:i:pa:s1544612323002969

DOI: 10.1016/j.frl.2023.103924

Access Statistics for this article

Finance Research Letters is currently edited by R. Gençay

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