The Economic Consequences of Hosting the Olympic Games: International Evidence from Cross-Listings

Abstract

Based on evidence from nine countries that hosted the Olympic Games, we show that relative to firms domiciled in non-Olympics-hosting countries, firms domiciled in Olympics-hosting countries engage in more cross-listing in the years following the Olympics. The effect of hosting the Olympics on firms’ cross-listing activities is more pronounced for firms domiciled in host countries with better performance in the Games; for firms domiciled in countries hosting the Summer Olympics; and for domestic firms. We also find that cross-listing firms domiciled in an Olympics-hosting country tend to cross-list in foreign countries with a greater institutional distance from the host country after the Olympics. Finally, we document a positive effect of Olympics-hosting on the consequences of cross-listing. Taken together, our findings suggest that hosting the Olympics improves the international reputation of the host country, which helps firms domiciled in that country to overcome the liability of foreignness when making cross-listing decisions.

Corporate Governance Reforms and Analyst Forecasts: International Evidence

“…To investigate the effect of corporate governance reforms on analyst forecast accuracy, we follow the literature on the impact of regulations and reforms and use a staggered DID model (e.g., Fauver et al ., 2017; Liao et al ., 2022; Ryou et al ., 2022; Tsang et al ., 2022b; Wang et al ., 2022): where i indexes firm, j indexes country, and t indexes year. The sample is restricted to firms in countries that have experienced corporate governance reforms.…”

“…To investigate the effect of corporate governance reforms on analyst forecast accuracy, we follow the literature on the impact of regulations and reforms and use a staggered DID model (e.g., Fauver et al, 2017;Liao et al, 2022;Ryou et al, 2022;Tsang et al, 2022b;:…”