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Open AccessOpen Access JUSTC Management 30 June 2023

Typhoons’ effect, stock returns, and firms’ response: Insights from China

  • Department of Statistics and Finance, School of Management, University of Science and Technology of China, Hefei 230026, China

Cite this:
https://doi.org/10.52396/JUSTC-2022-0157
More Information
  • Author Bio:

    Lixiang Shao is currently a master’s student at the Department of Statistics and Finance, University of Science and Technology of China. Her research mainly focuses on corporate finance

    Zhi Zheng is currently a Ph.D. candidate under the supervision of Prof. Weiping Zhang at the University of Science and Technology of China. His research mainly focuses on longitudinal data analysis

  • Corresponding author: E-mail: shao2019@mail.ustc.edu.cn
  • Received Date: 03 November 2022
  • Accepted Date: 07 February 2023
    • Available Online: 30 June 2023
    Abstract

  • Abstract

    This paper examines the impact of typhoons in China on the stock returns of Chinese A-share listed firms and the responses of their managers. Based on a sample of Chinese A-share listed companies from 2003 to 2018, we find that the occurrence of typhoons causes significant negative effects on the Chinese stock market, both economically and statistically. We use an event study approach to test the impact of typhoons directly, and we sort the stocks into different portfolios to examine the sensitivity of the typhoons’ effect to different factors. We also investigate the responses of firms’ management to damaging disasters using a difference-in-differences method with multiple time periods. We discover that firms in the neighborhood area are willing to take precautions, including decreasing the current debt to total debt ratio and increasing the ratio of long-term borrowing financing to total assets. Furthermore, firms’ overreactions will disappear as the number of attacks increases, and the rationality of this overreaction needs further research.

    Graphical abstract

    How the Chinese stock market and firms react to the typhoon disasters.

    Abstract

    This paper examines the impact of typhoons in China on the stock returns of Chinese A-share listed firms and the responses of their managers. Based on a sample of Chinese A-share listed companies from 2003 to 2018, we find that the occurrence of typhoons causes significant negative effects on the Chinese stock market, both economically and statistically. We use an event study approach to test the impact of typhoons directly, and we sort the stocks into different portfolios to examine the sensitivity of the typhoons’ effect to different factors. We also investigate the responses of firms’ management to damaging disasters using a difference-in-differences method with multiple time periods. We discover that firms in the neighborhood area are willing to take precautions, including decreasing the current debt to total debt ratio and increasing the ratio of long-term borrowing financing to total assets. Furthermore, firms’ overreactions will disappear as the number of attacks increases, and the rationality of this overreaction needs further research.

    • Public Summary

    • We find that the occurrence of typhoons causes significant negative effects on the Chinese stock market, both economically and statistically
    • We sort the stocks into different portfolios to examine the sensitivity of the typhoons’ effect to different factors and find that smaller size and lower value stocks are vulnerable to typhoon disasters.
    • We also investigate the responses of firms’ managers. We discover that managers are inclined to take precautions such as altering the debt structure rather than increasing firms’ cash holdings.

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    • References(60)
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    Lanfear M G, Lioui A, Siebert M G. Market anomalies and disaster risk: Evidence from extreme weather events. Journal of Financial Markets, 2019, 46: 100477. doi: 10.1016/j.finmar.2018.10.003
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    Ahlerup P. Are natural disasters good for economic growth? Gothenburg, Sweden: University of Gothenburg, 2013.
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    Strulik H, Trimborn T. Natural disasters and macroeconomic performance. Environmental and Resource Economics, 2019, 72 (4): 1069–1098. doi: 10.1007/s10640-018-0239-7
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    Bourdeau-Brien M, Kryzanowski L. The impact of natural disasters on the stock returns and volatilities of local firms. The Quarterly Review of Economics and Finance, 2017, 63: 259–270. doi: 10.1016/j.qref.2016.05.003
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    Bourdeau-Brien M, Kryzanowski L. Natural disasters and risk aversion. Journal of Economic Behavior & Organization, 2020, 177: 818–835. doi: 10.1016/j.jebo.2020.07.007
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    Faccini R, Matin R, Skiadopoulos G. Are climate change risks priced in the US stock market. Copenhagen: Danmarks National Bank, 2021: No. 169.
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    Hong H, Li F W, Xu J. Climate risks and market efficiency. Journal of Econometrics, 2019, 208 (1): 265–281. doi: 10.1016/j.jeconom.2018.09.015
    [18]
    Kumar A, Xin W, Zhang C. Climate sensitivity and predictable returns. SSRN 3331872, 2019.
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    Huynh T D, Xia Y. Panic selling when disaster strikes: Evidence in the bond and stock markets. Management Science, 2021, 69 (12): 7448–7467. doi: 10.1287/mnsc.2021.4018
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    Santi C. Investors’ climate sentiment and financial markets. SSRN 3697581, 2020.
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    Wu N, Xiao W, Liu W, et al. Corporate climate risk and stock market reaction to performance briefings in China. Environmental Science and Pollution Research, 2022, 29: 53801–53820. doi: 10.1007/s11356-022-19479-2
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    Zhang W, Li D, et al. Do individual investors care about climate risk? SSRN 4150437, 2022.
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    Venturini A. Climate change, risk factors and stock returns: A review of the literature. International Review of Financial Analysis, 2022, 79: 101934. doi: 10.1016/j.irfa.2021.101934
    [25]
    Zhang S Y. Are investors sensitive to climate-related transition and physical risks? Evidence from global stock markets. Research in International Business and Finance, 2022, 62: 101710. doi: 10.1016/j.ribaf.2022.101710
    [26]
    Gunessee S, Subramanian N, Ning K. Natural disasters, PC supply chain and corporate performance. International Journal of Operations & Production Management, 2018, 38 (9): 1796–1814. doi: 10.1108/IJOPM-12-2016-0705
    [27]
    Cainelli G, Fracasso A, Marzetti G V. Natural disasters and firm resilience in Italian industrial districts. In: Agglomeration and Firm Performance. Cham, Switzerland: Springer, 2018: 223–243.
    [28]
    Hsu P H, Lee H H, Peng S C, et al. Natural disasters, technology diversity, and operating performance. Review of Economics and Statistics, 2018, 100 (4): 619–630. doi: 10.1162/rest_a_00738
    [29]
    Noth F, Rehbein O. Badly hurt? natural disasters and direct firm effects. Finance Research Letters, 2019, 28: 254–258. doi: 10.1016/j.frl.2018.05.009
    [30]
    Okubo T, Strobl E. Natural disasters, firm survival, and growth: Evidence from the Ise Bay Typhoon, Japan. Journal of Regional Science, 2021, 61 (5): 944–970. doi: 10.1111/jors.12523
    [31]
    Sun Y, Yang Y, Huang N, et al. The impacts of climate change risks on financial performance of mining industry: Evidence from listed companies in China. Resources Policy, 2010, 69: 101828. doi: 10.1016/j.resourpol.2020.101828
    [32]
    Pu X, Chen M, Cai Z, et al. Managing emergency situations with lean and advanced manufacturing technologies: An empirical study on the Rumbia typhoon disaster. International Journal of Operations & Production Management, 2021, 41 (9): 1442–1468. doi: 10.1108/IJOPM-12-2020-0887
    [33]
    Alok S, Kumar N, Wermers R. Do fund managers misestimate climatic disaster risk. The Review of Financial Studies, 2020, 33 (3): 1146–1183. doi: 10.1093/rfs/hhz143
    [34]
    Kong D, Lin Z, Wang Y, et al. Natural disasters and analysts’ earnings forecasts. Journal of Corporate Finance, 2021, 66: 101860. doi: 10.1016/j.jcorpfin.2020.101860
    [35]
    Brown S J, B Warner J B. Measuring security price performance. Journal of Financial Economics, 1980, 8 (3): 205–258. doi: 10.1016/0304-405X(80)90002-1
    [36]
    Brown S J, Warner J B. Using daily stock returns: The case of event studies. Journal of Financial Economics, 1985, 14 (1): 3–31. doi: 10.1016/0304-405X(85)90042-X
    [37]
    Boehmer E, Masumeci J, Poulsen A B. Event-study methodology under conditions of event-induced variance. Journal of Financial Economics, 1991, 30 (2): 253–272. doi: 10.1016/0304-405X(91)90032-F
    [38]
    Wilcoxon F. Individual comparisons by ranking methods. Biometrics Bulletin, 1945, 1 (6): 80–83. doi: 10.2307/3001968
    [39]
    Corrado C J. A nonparametric test for abnormal security-price performance in event studies. Journal of Financial Economics, 1989, 23 (2): 385–395. doi: 10.1016/0304-405X(89)90064-0
    [40]
    Cowan A R. Nonparametric event study tests. Review of Quantitative Finance and Accounting, 1992, 2 (4): 343–358. doi: 10.1007/BF00939016
    [41]
    Wang F, Xu Y. What determines Chinese stock returns? Financial Analysts Journal, 2004, 60 (6): 65–77. doi: 10.2469/faj.v60.n6.2674
    [42]
    Eun C S, Huang W. Asset pricing in China’s domestic stock markets: Is there a logic? Pacific-Basin Finance Journal, 2007, 15 (5): 452–480. doi: 10.1016/j.pacfin.2006.11.002
    [43]
    Hsu J, Viswanathan V, Wang M, et al. Anomalies in Chinese A-shares. The Journal of Portfolio Management, 2018, 44 (7): 108–123. doi: 10.3905/jpm.2018.44.7.108
    [44]
    Xing Hu G X, Chen C, Shao Y, et al. Fama–French in China: size and value factors in Chinese stock returns. International Review of Finance, 2019, 19 (1): 3–44. doi: 10.1111/irfi.12177
    [45]
    Fama E F, French K R. The cross-section of expected stock returns. The Journal of Finance, 1992, 47 (2): 427–465. doi: 10.1111/j.1540-6261.1992.tb04398.x
    [46]
    Fama E F, French K R. Common risk factors in the returns on stocks and bonds. Journal of Financial Economics, 1993, 33: 3–56. doi: 10.1016/0304-405X(93)90023-5
    [47]
    Fama E F, French K R. Industry costs of equity. Journal of Financial Economics, 1997, 43 (2): 153–193. doi: 10.1016/S0304-405X(96)00896-3
    [48]
    Huang Y, Yang J, Zhang Y. Value premium in the Chinese stock market: Free lunch or paid lunch? Applied Financial Economics, 2013, 23 (4): 315–324. doi: 10.1080/09603107.2012.720010
    [49]
    Cakici N, Chan K, Topyan K. Cross-sectional stock return predictability in China. The European Journal of Finance, 2017, 23: 581–605. doi: 10.1080/1351847X.2014.997369
    [50]
    Ng L, Wu F. Revealed stock preferences of individual investors: Evidence from Chinese equity markets. Pacific-Basin Finance Journal, 2006, 14 (2): 175–192. doi: 10.1016/j.pacfin.2005.10.001
    [51]
    Bai H, Hou K, Kung H, et al. The CAPM strikes back? An equilibrium model with disasters. Journal of Financial Economics, 2019, 131 (2): 269–298. doi: 10.1016/j.jfineco.2018.08.009
    [52]
    Wirtz A. Natural disasters and the insurance industry. In: The Economic Impacts of Natural Disasters. Oxford, UK: Oxford University Press, 2013: 128–153.
    [53]
    Genc R. Catastrophe of environment: The impact of natural disasters on tourism industry. Journal of Tourism & Adventure, 2018, 1 (1): 86–94. doi: 10.3126/jota.v1i1.22753
    [54]
    Cheng H, Li H, Li T. The performance of state-owned enterprises: New evidence from the China employer-employee survey. Economic Development and Cultural Change, 2021, 69 (2): 513–540. doi: 10.1086/703100
    [55]
    Liu Z, Spiegel M M, Zhang J. Optimal capital account liberalization in China. Journal of Monetary Economics, 2021, 117: 10411061. doi: 10.1016/j.jmoneco.2020.08.003
    [56]
    Li L, Monroe G S, Wang J J. State ownership and abnormal accruals in highly-valued firms: Evidence from China. Journal of Contemporary Accounting & Economics, 2021, 17 (1): 100223. doi: 10.1016/j.jcae.2020.100223
    [57]
    He L, Wan H, Zhou X. How are political connections valued in China? Evidence from market reaction to CEO succession. International Review of Financial Analysis, 2014, 36: 141–152. doi: 10.1016/j.irfa.2014.01.011
    [58]
    Wang Z, Chen M, Chin C, et al. Managerial ability, political connections, and fraudulent financial reporting in China. Journal of Accounting and Public Policy, 2017, 36 (2): 141–162. doi: 10.1016/j.jaccpubpol.2017.02.004
    [59]
    Chang C, Zhang W. Do natural disasters increase financial risks? An empirical analysis. Bulletin of Monetary Economics and Banking, 2020, 23: Article 4. doi: 10.21098/bemp.v23i0.1258
    [60]
    Ramirez A, Altay N. Risk and the multinational corporation revisited: The case of natural disasters and corporate cash holdings. SSRN 1772969, 2011.
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    [1]
    Dilley M, Chen R S, Deichmann U, et al. Natural Disaster Hotspots: A Global Risk Analysis. Washington DC: World Bank, 2005.
    [2]
    Dessaint O, Matray A. Do managers overreact to salient risks? Evidence from hurricane strikes. Journal of Financial Economics, 2017, 126 (1): 97–121. doi: 10.1016/j.jfineco.2017.07.002
    [3]
    Liu J, Stambaugh R F, Yuan Y. Size and value in China. Journal of Financial Economics, 2019, 134 (1): 48–69. doi: 10.1016/j.jfineco.2019.03.008
    [4]
    Lanfear M G, Lioui A, Siebert M G. Market anomalies and disaster risk: Evidence from extreme weather events. Journal of Financial Markets, 2019, 46: 100477. doi: 10.1016/j.finmar.2018.10.003
    [5]
    Strobl E. The economic growth impact of natural disasters in developing countries: Evidence from hurricane strikes in the central American and Caribbean regions. Journal of Development Economics, 2012, 97 (1): 130–141. doi: 10.1016/j.jdeveco.2010.12.002
    [6]
    Ahlerup P. Are natural disasters good for economic growth? Gothenburg, Sweden: University of Gothenburg, 2013.
    [7]
    Noy I, duPont W IV . The long-term consequences of natural disasters: A summary of the literature. Wellington, New Zealand: Victoria University of Wellington, 2016.
    [8]
    Bakkensen L, Barrage L. Climate shocks, cyclones, and economic growth: Bridging the micro-macro gap. Cambridge, USA: National Bureau of Economic Research, 2018.
    [9]
    Ibarrarán M E, Ruth M, Ahmad S, et al. Climate change and natural disasters: Macroeconomic performance and distributional impacts. Environment, Development and Sustainability, 2009, 11 (3): 549–569. doi: 10.1007/s10668-007-9129-9
    [10]
    Strulik H, Trimborn T. Natural disasters and macroeconomic performance. Environmental and Resource Economics, 2019, 72 (4): 1069–1098. doi: 10.1007/s10640-018-0239-7
    [11]
    Dzator J, Acheampong A O, Dzator M. Climate change and natural disasters: Macroeconomic performance and sustainable development. In: Economic Effects of Natural Disasters. London: Academic Press, 2021: 301–316.
    [12]
    Elliott R J R, Liu Y, Strobl E, et al. Estimating the direct and indirect impact of typhoons on plant performance: Evidence from Chinese manufacturers. Journal of Environmental Economics and Management, 2019, 98: 102252. doi: 10.1016/j.jeem.2019.102252
    [13]
    Shan L, Gong S X. Investor sentiment and stock returns: Wenchuan earthquake. Finance Research Letters, 2012, 9 (1): 36–47. doi: 10.1016/j.frl.2011.07.002
    [14]
    Bourdeau-Brien M, Kryzanowski L. The impact of natural disasters on the stock returns and volatilities of local firms. The Quarterly Review of Economics and Finance, 2017, 63: 259–270. doi: 10.1016/j.qref.2016.05.003
    [15]
    Bourdeau-Brien M, Kryzanowski L. Natural disasters and risk aversion. Journal of Economic Behavior & Organization, 2020, 177: 818–835. doi: 10.1016/j.jebo.2020.07.007
    [16]
    Faccini R, Matin R, Skiadopoulos G. Are climate change risks priced in the US stock market. Copenhagen: Danmarks National Bank, 2021: No. 169.
    [17]
    Hong H, Li F W, Xu J. Climate risks and market efficiency. Journal of Econometrics, 2019, 208 (1): 265–281. doi: 10.1016/j.jeconom.2018.09.015
    [18]
    Kumar A, Xin W, Zhang C. Climate sensitivity and predictable returns. SSRN 3331872, 2019.
    [19]
    Huynh T D, Xia Y. Panic selling when disaster strikes: Evidence in the bond and stock markets. Management Science, 2021, 69 (12): 7448–7467. doi: 10.1287/mnsc.2021.4018
    [20]
    Santi C. Investors’ climate sentiment and financial markets. SSRN 3697581, 2020.
    [21]
    Wu N, Xiao W, Liu W, et al. Corporate climate risk and stock market reaction to performance briefings in China. Environmental Science and Pollution Research, 2022, 29: 53801–53820. doi: 10.1007/s11356-022-19479-2
    [22]
    Zhang W, Li D, et al. Do individual investors care about climate risk? SSRN 4150437, 2022.
    [23]
    Ma R, Marshall B R, Nguyen H T, et al. Climate events and return comovement. Journal of Financial Markets, 2022, 61: 100731. doi: 10.1016/j.finmar.2022.100731
    [24]
    Venturini A. Climate change, risk factors and stock returns: A review of the literature. International Review of Financial Analysis, 2022, 79: 101934. doi: 10.1016/j.irfa.2021.101934
    [25]
    Zhang S Y. Are investors sensitive to climate-related transition and physical risks? Evidence from global stock markets. Research in International Business and Finance, 2022, 62: 101710. doi: 10.1016/j.ribaf.2022.101710
    [26]
    Gunessee S, Subramanian N, Ning K. Natural disasters, PC supply chain and corporate performance. International Journal of Operations & Production Management, 2018, 38 (9): 1796–1814. doi: 10.1108/IJOPM-12-2016-0705
    [27]
    Cainelli G, Fracasso A, Marzetti G V. Natural disasters and firm resilience in Italian industrial districts. In: Agglomeration and Firm Performance. Cham, Switzerland: Springer, 2018: 223–243.
    [28]
    Hsu P H, Lee H H, Peng S C, et al. Natural disasters, technology diversity, and operating performance. Review of Economics and Statistics, 2018, 100 (4): 619–630. doi: 10.1162/rest_a_00738
    [29]
    Noth F, Rehbein O. Badly hurt? natural disasters and direct firm effects. Finance Research Letters, 2019, 28: 254–258. doi: 10.1016/j.frl.2018.05.009
    [30]
    Okubo T, Strobl E. Natural disasters, firm survival, and growth: Evidence from the Ise Bay Typhoon, Japan. Journal of Regional Science, 2021, 61 (5): 944–970. doi: 10.1111/jors.12523
    [31]
    Sun Y, Yang Y, Huang N, et al. The impacts of climate change risks on financial performance of mining industry: Evidence from listed companies in China. Resources Policy, 2010, 69: 101828. doi: 10.1016/j.resourpol.2020.101828
    [32]
    Pu X, Chen M, Cai Z, et al. Managing emergency situations with lean and advanced manufacturing technologies: An empirical study on the Rumbia typhoon disaster. International Journal of Operations & Production Management, 2021, 41 (9): 1442–1468. doi: 10.1108/IJOPM-12-2020-0887
    [33]
    Alok S, Kumar N, Wermers R. Do fund managers misestimate climatic disaster risk. The Review of Financial Studies, 2020, 33 (3): 1146–1183. doi: 10.1093/rfs/hhz143
    [34]
    Kong D, Lin Z, Wang Y, et al. Natural disasters and analysts’ earnings forecasts. Journal of Corporate Finance, 2021, 66: 101860. doi: 10.1016/j.jcorpfin.2020.101860
    [35]
    Brown S J, B Warner J B. Measuring security price performance. Journal of Financial Economics, 1980, 8 (3): 205–258. doi: 10.1016/0304-405X(80)90002-1
    [36]
    Brown S J, Warner J B. Using daily stock returns: The case of event studies. Journal of Financial Economics, 1985, 14 (1): 3–31. doi: 10.1016/0304-405X(85)90042-X
    [37]
    Boehmer E, Masumeci J, Poulsen A B. Event-study methodology under conditions of event-induced variance. Journal of Financial Economics, 1991, 30 (2): 253–272. doi: 10.1016/0304-405X(91)90032-F
    [38]
    Wilcoxon F. Individual comparisons by ranking methods. Biometrics Bulletin, 1945, 1 (6): 80–83. doi: 10.2307/3001968
    [39]
    Corrado C J. A nonparametric test for abnormal security-price performance in event studies. Journal of Financial Economics, 1989, 23 (2): 385–395. doi: 10.1016/0304-405X(89)90064-0
    [40]
    Cowan A R. Nonparametric event study tests. Review of Quantitative Finance and Accounting, 1992, 2 (4): 343–358. doi: 10.1007/BF00939016
    [41]
    Wang F, Xu Y. What determines Chinese stock returns? Financial Analysts Journal, 2004, 60 (6): 65–77. doi: 10.2469/faj.v60.n6.2674
    [42]
    Eun C S, Huang W. Asset pricing in China’s domestic stock markets: Is there a logic? Pacific-Basin Finance Journal, 2007, 15 (5): 452–480. doi: 10.1016/j.pacfin.2006.11.002
    [43]
    Hsu J, Viswanathan V, Wang M, et al. Anomalies in Chinese A-shares. The Journal of Portfolio Management, 2018, 44 (7): 108–123. doi: 10.3905/jpm.2018.44.7.108
    [44]
    Xing Hu G X, Chen C, Shao Y, et al. Fama–French in China: size and value factors in Chinese stock returns. International Review of Finance, 2019, 19 (1): 3–44. doi: 10.1111/irfi.12177
    [45]
    Fama E F, French K R. The cross-section of expected stock returns. The Journal of Finance, 1992, 47 (2): 427–465. doi: 10.1111/j.1540-6261.1992.tb04398.x
    [46]
    Fama E F, French K R. Common risk factors in the returns on stocks and bonds. Journal of Financial Economics, 1993, 33: 3–56. doi: 10.1016/0304-405X(93)90023-5
    [47]
    Fama E F, French K R. Industry costs of equity. Journal of Financial Economics, 1997, 43 (2): 153–193. doi: 10.1016/S0304-405X(96)00896-3
    [48]
    Huang Y, Yang J, Zhang Y. Value premium in the Chinese stock market: Free lunch or paid lunch? Applied Financial Economics, 2013, 23 (4): 315–324. doi: 10.1080/09603107.2012.720010
    [49]
    Cakici N, Chan K, Topyan K. Cross-sectional stock return predictability in China. The European Journal of Finance, 2017, 23: 581–605. doi: 10.1080/1351847X.2014.997369
    [50]
    Ng L, Wu F. Revealed stock preferences of individual investors: Evidence from Chinese equity markets. Pacific-Basin Finance Journal, 2006, 14 (2): 175–192. doi: 10.1016/j.pacfin.2005.10.001
    [51]
    Bai H, Hou K, Kung H, et al. The CAPM strikes back? An equilibrium model with disasters. Journal of Financial Economics, 2019, 131 (2): 269–298. doi: 10.1016/j.jfineco.2018.08.009
    [52]
    Wirtz A. Natural disasters and the insurance industry. In: The Economic Impacts of Natural Disasters. Oxford, UK: Oxford University Press, 2013: 128–153.
    [53]
    Genc R. Catastrophe of environment: The impact of natural disasters on tourism industry. Journal of Tourism & Adventure, 2018, 1 (1): 86–94. doi: 10.3126/jota.v1i1.22753
    [54]
    Cheng H, Li H, Li T. The performance of state-owned enterprises: New evidence from the China employer-employee survey. Economic Development and Cultural Change, 2021, 69 (2): 513–540. doi: 10.1086/703100
    [55]
    Liu Z, Spiegel M M, Zhang J. Optimal capital account liberalization in China. Journal of Monetary Economics, 2021, 117: 10411061. doi: 10.1016/j.jmoneco.2020.08.003
    [56]
    Li L, Monroe G S, Wang J J. State ownership and abnormal accruals in highly-valued firms: Evidence from China. Journal of Contemporary Accounting & Economics, 2021, 17 (1): 100223. doi: 10.1016/j.jcae.2020.100223
    [57]
    He L, Wan H, Zhou X. How are political connections valued in China? Evidence from market reaction to CEO succession. International Review of Financial Analysis, 2014, 36: 141–152. doi: 10.1016/j.irfa.2014.01.011
    [58]
    Wang Z, Chen M, Chin C, et al. Managerial ability, political connections, and fraudulent financial reporting in China. Journal of Accounting and Public Policy, 2017, 36 (2): 141–162. doi: 10.1016/j.jaccpubpol.2017.02.004
    [59]
    Chang C, Zhang W. Do natural disasters increase financial risks? An empirical analysis. Bulletin of Monetary Economics and Banking, 2020, 23: Article 4. doi: 10.21098/bemp.v23i0.1258
    [60]
    Ramirez A, Altay N. Risk and the multinational corporation revisited: The case of natural disasters and corporate cash holdings. SSRN 1772969, 2011.
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