The Economic Impact of Olympic Games: Evidence from Stock Markets

Dick, Christian D.; Wang, Qingwei

doi:10.2139/ssrn.1261856

Cited by 9 publications

(14 citation statements)

References 6 publications

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“…These non-economic events had no economic effect on the stocks themselves, but were able to impact on investor mood. Research has addressed the relationship between stock market returns and various non-economic events, such as the weather (Saunders, 1993;Trombley, 1997;Zhu, 2006;Gerlach, 2007;Jacobsen & Marquering, 2008;Saporoschenko, 2011), sleep patterns (Kamstra, Kramers & Levi, 2000), seasonal affective disorder (Molin, Mellenrup, Bolwig, Scheike & Dam, 1996;Dolvin, Pyles & Wu, 2009), and mega sporting events (Berman, Brooks & Davidson, 2000;Matheson & Baade, 2004;Veraros, Kasimati & Dawson, 2004;Dick & Wang, 2010;Floros, 2010;Mirman & Sharma, 2010). If non-economic events are able to affect an individual's mood and hence influence market prices, it can be deduced that sporting performance is able to influence both investor mood and market prices.…”

Section: Stock Markets and Sporting Performancementioning

confidence: 99%

Does national sporting performance affect stock market returns in South Africa?

Botha

Beer

2013

J. econ. financ. sci.

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This study explores whether South African national sporting performance can influence investors in such a way that it has the ability to impact on market returns. Using standard event study methodology, this study determines the constant mean return using the daily All-Share price index on the JSE for the period of 1 January 1990 to 31 December 2010. This study focuses on three of South Africa’s most popular sports, namely soccer, cricket and rugby, and examines if these three sports have the ability to influence market returns. Although there is some evidence of a relationship between stock returns and sporting performance in the descriptive analysis, the regression results indicate that sporting performance in South Africa does not significantly explain abnormal market returns on the JSE. The study provides a number of possible reasons for this finding and concludes by suggesting areas for future research.

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Section: Stock Markets and Sporting Performancementioning

confidence: 99%

Does national sporting performance affect stock market returns in South Africa?

Botha

Beer

2013

J. econ. financ. sci.

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“…About the correlation between host country and stock return, there some studies explaining the different result. The summer games represent a larger event and then more likely to have a significant impact [5]. The another result showed well performance of stock market for the Greece regarding the Summer Olympic Games, South Korea regarding the 2002 FIFA World Cup, Portugal regarding the 2004 European Football Championships and United States regarding 1996 Summer Olympic Games.…”

Section: Introductionmentioning

confidence: 86%

Do International Football Match and Host Country Impact Stock Return in Indonesia?

Rakhmat¹

2021

Proceedings of the 1st International Conference on Economics Engineering and Social Science, InCEESS 2020, 17-18 July, Bekasi,

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This research is an analysis to find out about effect of football match and Host Country on Stock Return in Indonesia Stock Exchange. This study focuses on the specific football championship including ASIAN Football Cup, ASIAN GAMES, SEA GAMES, and AFF CUP for the period from 1996 until 2019. The tool used in this research is EVIEWS data analytics software and its multiple regression analysis specially. Variable included in the regression model are football match, host country, and stock price. The result of this study showed that stock return in Indonesia does not influenced by football match and host country.

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“…Chen et al (2007) results showed that the outbreak of the SARS epidemic after the Taiwan hotel stock price compensation had a significantly negative impact on hotel stock price returns in Taiwan. Dick and Wang (2010) used the event study method to examine the impact of announcements made by the International Olympic Committee (IOC) as to which cities would host the games on the major stock index returns of the winning and losing countries. Data covering the period 1988 -2014 in relation to 15 announcements as to which countries would host future Olympic Games were used in the event study.…”

Section: Identifying the Cross-strait Events In 2014-2016mentioning

confidence: 99%

An Event Study of Chinese Tourists to Taiwan

2018

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The number of Chinese tourists visiting Taiwan has been closely related to the political relationship across the Taiwan Strait. The occurrence of political events and disasters or accidents have had, and will continue to have, a huge impact on the Taiwan tourism market. To date, there has been relatively little empirical research conducted on this issue. In this paper, tourists are characterized as being involved in one of three types of tourism: group tourism (group-type), individual tourism (individualtype), and medical cosmetology (medical-type). We use McAleer's (2015) fundamental equation in tourism finance to examine the correlation that exists between the rate of change in the number of tourists and the rate of return on tourism. Second, we use the event study method to observe whether the numbers of tourists have changed abnormally before and after the occurrence of major events on both sides of the Strait. Three different types of conditional variance models, namely, GARCH (1,1), GJR (1,1) and EGARCH (1,1), are used to estimate the abnormal rate of change in the number of tourists. The empirical results concerning the major events affecting the changes in the numbers of tourists from China to Taiwan are economically significant, and confirm which types of tourists are most likely to be affected by such major events. KeywordsEvent study, Abnormal rate of change, Chinese tourists, OLS, GARCH, GJR, EGARCH, Tourism finance. JEL Classification AbstractThe number of Chinese tourists visiting Taiwan has been closely related to the political relationship across the Taiwan Strait. The occurrence of political events and disasters or accidents have had, and will continue to have, a huge impact on the Taiwan tourism market. To date, there has been relatively little empirical research conducted on this issue. In this paper, tourists are characterized as being involved in one of three types of tourism: group tourism (group-type), individual tourism (individual-type), and medical cosmetology (medical-type). We use McAleer's (2015) fundamental equation in tourism finance to examine the correlation that exists between the rate of change in the number of tourists and the rate of return on tourism. Second, we use the event study method to observe whether the numbers of tourists have changed abnormally before and after the occurrence of major events on both sides of the Strait. Three different types of conditional variance models, namely, GARCH (1,1), GJR (1,1) and EGARCH (1,1), are used to estimate the abnormal rate of change in the number of tourists. The empirical results concerning the major events affecting the changes in the numbers of tourists from China to Taiwan are economically significant, and confirm which types of tourists are most likely to be affected by such major events.

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The Economic Impact of Olympic Games: Evidence from Stock Markets

Cited by 9 publications

References 6 publications

Does national sporting performance affect stock market returns in South Africa?

Does national sporting performance affect stock market returns in South Africa?

Do International Football Match and Host Country Impact Stock Return in Indonesia?

An Event Study of Chinese Tourists to Taiwan

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