Terrorism and Tourism : The Stock Market Reaction

The tourism sector has inadvertently been seen as the logical companion of terrorism. With terrorism being associated with negative abnormal returns in the capital markets, the linkage of tourism with terrorism implicates greater negative association. This research examines the validity of the assoc...

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Main Author: Chua, Hui Gee
Format: Dissertation (University of Nottingham only)
Language:English
Published: 2005
Online Access:https://eprints.nottingham.ac.uk/24315/
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author Chua, Hui Gee
author_facet Chua, Hui Gee
author_sort Chua, Hui Gee
building Nottingham Research Data Repository
collection Online Access
description The tourism sector has inadvertently been seen as the logical companion of terrorism. With terrorism being associated with negative abnormal returns in the capital markets, the linkage of tourism with terrorism implicates greater negative association. This research examines the validity of the association of four terrorist attacks; the 9/11, Bali Bombing, Marriot hotel bombing, and the 7/7 London Bombings on four respectively selected groups of hotels and hotel managements stocks. The standard event study methodology is used with Carrado Ranking Test where necessary. The overall results show mixed reaction. 9/11 is found to be negatively associated with abnormal return. Bali bombings are not negatively associated. The Marriot hotel bombings and 7/7 London Bombings are associated with negative abnormal returns. The hypothesis that abnormal return is associated negatively with terrorism cannot be fully substantiated.
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institution University of Nottingham Malaysia Campus
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language English
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spelling nottingham-243152018-01-23T06:19:49Z https://eprints.nottingham.ac.uk/24315/ Terrorism and Tourism : The Stock Market Reaction Chua, Hui Gee The tourism sector has inadvertently been seen as the logical companion of terrorism. With terrorism being associated with negative abnormal returns in the capital markets, the linkage of tourism with terrorism implicates greater negative association. This research examines the validity of the association of four terrorist attacks; the 9/11, Bali Bombing, Marriot hotel bombing, and the 7/7 London Bombings on four respectively selected groups of hotels and hotel managements stocks. The standard event study methodology is used with Carrado Ranking Test where necessary. The overall results show mixed reaction. 9/11 is found to be negatively associated with abnormal return. Bali bombings are not negatively associated. The Marriot hotel bombings and 7/7 London Bombings are associated with negative abnormal returns. The hypothesis that abnormal return is associated negatively with terrorism cannot be fully substantiated. 2005 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/24315/1/chuahuighee.pdf Chua, Hui Gee (2005) Terrorism and Tourism : The Stock Market Reaction. [Dissertation (University of Nottingham only)] (Unpublished)
spellingShingle Chua, Hui Gee
Terrorism and Tourism : The Stock Market Reaction
title Terrorism and Tourism : The Stock Market Reaction
title_full Terrorism and Tourism : The Stock Market Reaction
title_fullStr Terrorism and Tourism : The Stock Market Reaction
title_full_unstemmed Terrorism and Tourism : The Stock Market Reaction
title_short Terrorism and Tourism : The Stock Market Reaction
title_sort terrorism and tourism : the stock market reaction
url https://eprints.nottingham.ac.uk/24315/