EconPapers    
Economics at your fingertips  
 

Policy uncertainty and idiosyncratic volatility on Nikkei 225 stocks

Seungho Shin, Atsuyuki Naka and Lei Wang

Applied Economics Letters, 2025, vol. 32, issue 12, 1673-1680

Abstract: The main purpose of this study is to empirically examine the relationship between policy uncertainty and idiosyncratic volatility in Nikkei 225 stocks. We conclude that there is a positive relationship between economic policy uncertainty and idiosyncratic volatility. After examining additional uncertainty measures, we find similar positive relationships between monetary, fiscal, and trade policy uncertainty measures and idiosyncratic volatility except exchange rate policy. Industry analysis reveals much detailed information about how each Japanese industry responds to uncertainty, and the results emphasize the critical roles of government officers and policymakers in the stock markets.

Date: 2025
References: Add references at CitEc
Citations:

Downloads: (external link)
http://hdl.handle.net/10.1080/13504851.2024.2311310 (text/html)
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:taf:apeclt:v:32:y:2025:i:12:p:1673-1680

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/RAEL20

DOI: 10.1080/13504851.2024.2311310

Access Statistics for this article

Applied Economics Letters is currently edited by Anita Phillips

More articles in Applied Economics Letters from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().

 
Page updated 2025-08-05
Handle: RePEc:taf:apeclt:v:32:y:2025:i:12:p:1673-1680