Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela
The event study methodology is used to asses the effects of nationalization on the Venezuelan capital markets and on the two companies being nationalized, CANTV and ENELVEN. Using information form the Caracas Stock Exchange, we examined the Venezuelan capital market�¢����s response to a partic...
| Main Author: | |
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| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
| Published: |
2007
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| Online Access: | https://eprints.nottingham.ac.uk/21460/ |
| _version_ | 1848792251642150912 |
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| author | Borin, Laura |
| author_facet | Borin, Laura |
| author_sort | Borin, Laura |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | The event study methodology is used to asses the effects of nationalization on the Venezuelan capital markets and on the two companies being nationalized, CANTV and ENELVEN. Using information form the Caracas Stock Exchange, we examined the Venezuelan capital market�¢����s response to a particular announcement event given by the country�¢����s government. Evidence suggests that Venezuelan capital markets are extremely rigid to this process. The analysis uncovers evidence of statistically significance negative stock price reaction which corresponds to lose in both firms market capitalization. Most interestingly, we found that volatility doubled since the announcement took place. We discuss the implications of these findings for existing research on political uncertainty, market efficiency and investor�¢����s overreaction. |
| first_indexed | 2025-11-14T18:41:26Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-21460 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T18:41:26Z |
| publishDate | 2007 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-214602018-01-22T18:21:11Z https://eprints.nottingham.ac.uk/21460/ Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela Borin, Laura The event study methodology is used to asses the effects of nationalization on the Venezuelan capital markets and on the two companies being nationalized, CANTV and ENELVEN. Using information form the Caracas Stock Exchange, we examined the Venezuelan capital market�¢����s response to a particular announcement event given by the country�¢����s government. Evidence suggests that Venezuelan capital markets are extremely rigid to this process. The analysis uncovers evidence of statistically significance negative stock price reaction which corresponds to lose in both firms market capitalization. Most interestingly, we found that volatility doubled since the announcement took place. We discuss the implications of these findings for existing research on political uncertainty, market efficiency and investor�¢����s overreaction. 2007 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/21460/1/07LauraBorin.pdf Borin, Laura (2007) Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela. [Dissertation (University of Nottingham only)] (Unpublished) |
| spellingShingle | Borin, Laura Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title | Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title_full | Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title_fullStr | Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title_full_unstemmed | Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title_short | Capital Market Responses to the Nationalization Announcement by the Government of the Bolivarian Republic of Venezuela |
| title_sort | capital market responses to the nationalization announcement by the government of the bolivarian republic of venezuela |
| url | https://eprints.nottingham.ac.uk/21460/ |