How Does the Stock Market Respond to Chemical Disasters? - HAL-SHS - Sciences de l'Homme et de la Société Accéder directement au contenu
Article Dans Une Revue Journal of Environmental Economics and Management Année : 2010

How Does the Stock Market Respond to Chemical Disasters?

Résumé

In this paper, we examine the stock market reaction to industrial disasters. We consider an original sample of 64 explosions in chemical plants and refineries worldwide over the period 1990-2005. A quarter of the accidents resulted in a toxic release, and half of them caused at least one death or serious injury. On average, petrochemical firms in our sample experience a drop in their market value of 1.3% over the two days immediately following the disaster. Using multivariate analysis, we show that this loss is significantly related to the seriousness of the accident as measured by the number of casualties and by chemical pollution: each casualty corresponds to a loss of $164 million and a toxic release to a loss of $1 billion.
Fichier principal
Vignette du fichier
JEEM_2009.pdf (278.15 Ko) Télécharger le fichier
Origine : Fichiers éditeurs autorisés sur une archive ouverte
Loading...

Dates et versions

halshs-00637961 , version 1 (14-02-2012)

Identifiants

Citer

Marie-Aude Laguna, Gunther Capelle-Blancard. How Does the Stock Market Respond to Chemical Disasters?. Journal of Environmental Economics and Management, 2010, 59 (2), pp.192-205. ⟨10.1016/j.jeem.2009.11.002⟩. ⟨halshs-00637961⟩
595 Consultations
2209 Téléchargements

Altmetric

Partager

Gmail Facebook X LinkedIn More