Topic: Climate Vulnerability and Stock Price Crash Risk Worldwide

Speaker: Yi Si

Date & Time: 9:30-11:00 Thursday, April 27, 2023

Venue: Room 245, Quan Xue Building

Organizers: School of Accounting, Dongbei University of Finance and Economics, P.R. China & Liaoning Capital Market Finance and Accounting Graduate Innovation and Academic Exchange Center

Abstract:

Using a global dataset, we document that market-level climate vulnerability is positively associated with individual firms’ stock price crash risk. We establish causality by using both an instrumental variable analysis and the difference-in-differences analysis. Furthermore, we show that an increase in climate vulnerability is associated with several strong determinants of stock price crashes, including dampened firm fundamentals, more aggressive bad-news hoarding, lower dedicated institutional ownership, and the decreased breadth of institutional ownership. Our overall findings indicate that climate vulnerability can have adverse stock market consequences though a prominent destabilizing effect.

Introduction of Speaker:

Yi Si, Associate Professor at the School of Management at Xi’an Jiaotong University, P.R. China. Received Bachelor’s degree in Management and Economics, PhD in Management (Business Administration), and PhD in Accounting from Xiamen University, Xi’an Jiaotong University, and City University of Hong Kong, respectively. Published multiple papers in journals such as AJPT, EAR, JBE, AF, Nankai Business Review, Journal of Management Science, Journal of Industrial Engineering and Engineering Management, Systems Engineering-Theory & Practice. Presided over one Youth Program from the National Natural Science Foundation of China and one Youth Program from the Humanities and Social Sciences Foundation of the Ministry of Education. The research achievements have won awards such as the Best Paper Award at the IAS Conference of the American Accounting Society, the Second Prize of the Shaanxi Provincial Science and Technology Award, the Special Prize and the First Prize of the Shaanxi Provincial Higher Education Science and Technology Progress Award, etc.

Special Attention:

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