State Ownership, Media Capture, and Stock Price Efficiency : International Evidence
Research output: Conference Papers (RGC: 31A, 31B, 32, 33) › 32_Refereed conference paper (no ISBN/ISSN) › peer-review
Author(s)
Related Research Unit(s)
Detail(s)
| Original language | English |
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| Publication status | Published - 4 Jul 2012 |
Conference
| Title | Media Ownership, Political Capture, and Stock Price Informativeness: International Evidence |
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| Place | China |
| City | Xian |
| Period | 4 - 6 July 2012 |
Link(s)
| Permanent Link | https://scholars.cityu.edu.hk/en/publications/publication(6d809e64-c866-4814-a289-dcf107be023f).html |
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Abstract
State-owned media are subject to capture by those in power. This paper examines the impact of media ownership on stock price efficiency/informativeness in a sample of firms from 60 countries. We find that as the extent of state media ownership increases, stock price synchronicity increases and the ability of stock prices to predict future earnings decreases. We also find that the impact of state media ownership on reducing stock price informativeness is more pronounced in countries with stronger non-media institutions. Our results suggest that the political institution of media ownership matters to the information environment of stock markets.
Citation Format(s)
State Ownership, Media Capture, and Stock Price Efficiency : International Evidence. / KIM, J B; ZHANG, Hao; LI, L C; TIAN, G L.
2012. Paper presented at Media Ownership, Political Capture, and Stock Price Informativeness: International Evidence, Xian, China.Research output: Conference Papers (RGC: 31A, 31B, 32, 33) › 32_Refereed conference paper (no ISBN/ISSN) › peer-review
