Wang, Xichen and Yan, Cheng and Yan, Ji and Gozgor, Giray (2021) 'Emerging Stock Market Exuberance and International Short-term Flows.' Journal of International Financial Markets, Institutions and Money, 75. p. 101417. ISSN 1042-4431

Text Bubbles_r&r3_23Aug2021.pdf - Accepted Version Restricted to Repository staff only until 20 September 2022. Available under License Creative Commons Attribution Non-commercial No Derivatives. Download (837kB) | Request a copy

Abstract

We investigate bubble-like dynamics in 22 Emerging Market Economies (EMEs). We identify the existence of synchronized stock markets' exuberance across EMEs before the 2000s Global Financial Crisis (GFC). We also investigate whether international short-term capital flows help to predict such episodes of exuberance. We find that all three types of short-term flows are significant, but international equity flows prove the most robust predictor. International capital flows (especially equity flows) partially explain the synchronization of exuberance detected and thus demand close attention when monitoring bubble-like dynamics.

Item Type:	Article
Uncontrolled Keywords:	Global Financial Crisis; Stock Bubbles; Capital Flows; Emerging Markets
Divisions:	Faculty of Social Sciences Faculty of Social Sciences > Essex Business School Faculty of Social Sciences > Essex Business School > Essex Finance Centre
SWORD Depositor:	Elements
Depositing User:	Elements
Date Deposited:	24 Sep 2021 14:25
Last Modified:	18 Aug 2022 10:40
URI:	http://repository.essex.ac.uk/id/eprint/31165

Actions (login required)

View Item