Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis
During crisis events, the government implements many policies to control the development of the crisis and stimulate the economy damaged by the crisis. The government plays a very important role during the crisis. The stock market is a reflection of a country’s economic situation. This article takes...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
| Published: |
EnPress Publisher
2024
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| Online Access: | http://psasir.upm.edu.my/id/eprint/114913/ http://psasir.upm.edu.my/id/eprint/114913/1/114913.pdf |
| _version_ | 1848866632721498112 |
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| author | Zhu, Yilin Taasim, Shairil Izwan Daud, Adrian Cai, Junjie |
| author_facet | Zhu, Yilin Taasim, Shairil Izwan Daud, Adrian Cai, Junjie |
| author_sort | Zhu, Yilin |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | During crisis events, the government implements many policies to control the development of the crisis and stimulate the economy damaged by the crisis. The government plays a very important role during the crisis. The stock market is a reflection of a country’s economic situation. This article takes the Chinese government policies during the COVID-19 crisis as the research object and analyzes the impact of government policies on the CSI300 index. The following conclusion is drawn: not all government restrictions will cause a decline in stock market prices, among which the Wuhan lockdown policy has promoted the rise of the CSI300 index. The two stimulus policies implemented by the Chinese government are both conducive to the rise of CSI300 index. During the COVID-19 crisis, investors holding high assets, high leverage, and low profitability companies will be significantly negatively affected after the government implements restrictive policies. After the government implements stimulus policies, investors holding high asset and high leverage companies will suffer losses. Investors who hold low asset, low leverage, and high profitability companies will have profits. And this article also finds that the size of company assets is an important driving factor for abnormal returns. |
| first_indexed | 2025-11-15T14:23:42Z |
| format | Article |
| id | upm-114913 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T14:23:42Z |
| publishDate | 2024 |
| publisher | EnPress Publisher |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-1149132025-02-10T03:36:03Z http://psasir.upm.edu.my/id/eprint/114913/ Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis Zhu, Yilin Taasim, Shairil Izwan Daud, Adrian Cai, Junjie During crisis events, the government implements many policies to control the development of the crisis and stimulate the economy damaged by the crisis. The government plays a very important role during the crisis. The stock market is a reflection of a country’s economic situation. This article takes the Chinese government policies during the COVID-19 crisis as the research object and analyzes the impact of government policies on the CSI300 index. The following conclusion is drawn: not all government restrictions will cause a decline in stock market prices, among which the Wuhan lockdown policy has promoted the rise of the CSI300 index. The two stimulus policies implemented by the Chinese government are both conducive to the rise of CSI300 index. During the COVID-19 crisis, investors holding high assets, high leverage, and low profitability companies will be significantly negatively affected after the government implements restrictive policies. After the government implements stimulus policies, investors holding high asset and high leverage companies will suffer losses. Investors who hold low asset, low leverage, and high profitability companies will have profits. And this article also finds that the size of company assets is an important driving factor for abnormal returns. EnPress Publisher 2024-09-27 Article PeerReviewed text en cc_by_4 http://psasir.upm.edu.my/id/eprint/114913/1/114913.pdf Zhu, Yilin and Taasim, Shairil Izwan and Daud, Adrian and Cai, Junjie (2024) Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis. Journal of Infrastructure, Policy and Development, 8 (10). art. no. 7737. ISSN 2572-7923; eISSN: 2572-7931 https://systems.enpress-publisher.com/index.php/jipd/article/view/7737 10.24294/jipd.v8i10.7737 |
| spellingShingle | Zhu, Yilin Taasim, Shairil Izwan Daud, Adrian Cai, Junjie Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title | Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title_full | Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title_fullStr | Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title_full_unstemmed | Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title_short | Government policies and their impact on the China securities index 300 stock market: Insights from the COVID-19 crisis |
| title_sort | government policies and their impact on the china securities index 300 stock market: insights from the covid-19 crisis |
| url | http://psasir.upm.edu.my/id/eprint/114913/ http://psasir.upm.edu.my/id/eprint/114913/ http://psasir.upm.edu.my/id/eprint/114913/ http://psasir.upm.edu.my/id/eprint/114913/1/114913.pdf |