Stock market response to potash mine disasters

Oskar Kowalewski () and Piotr Śpiewanowski

Post-Print from HAL

Abstract: We examine the stock market reaction to disasters in potash mines. We use a sample of 55 mining accidents – natural and man-made - worldwide over the period 1986–2019. On average, the affected mining firms experience a cumulative drop in their market value of 1.15% in the first 2 ​day ​day of a disaster. We show also that the accidents impact stocks of the current and future (greenfield) competitors of the affected firms. The direction and size of the effect is determined by the relative strength of the negative risk effect and positive price and supply effects.

Keywords: Potash mine; Disasters; Event study; Working accident; Catastrophe (search for similar items in EconPapers)
Date: 2020-01-12
Note: View the original document on HAL open archive server: https://hal.science/hal-02987126
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (25)

Published in Journal of Commodity Markets, 2020, pp.100124. ⟨10.1016/j.jcomm.2020.100124⟩

Downloads: (external link)
https://hal.science/hal-02987126/document (application/pdf)

Related works:
Journal Article: Stock market response to potash mine disasters (2020)
Working Paper: Stock market response to potash mine disasters (2017)
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:hal:journl:hal-02987126

DOI: 10.1016/j.jcomm.2020.100124

Access Statistics for this paper

More papers in Post-Print from HAL
Bibliographic data for series maintained by CCSD ().