Spillover effect upon a labor event: an empirical analysis for the Spanish continuous market
The aim of this paper is to analyse the reaction of the stock prices of competing companies to the signature of a fi rm-level collective agreement. Considering that this type of agreement slants to the rise the wages of these fi rms with respect to those of the sector, we have found empirical eviden...
| Autores: | , |
|---|---|
| Tipo de recurso: | artículo |
| Estado: | Versión publicada |
| Fecha de publicación: | 2008 |
| País: | España |
| Institución: | Universidad de Sevilla (US) |
| Repositorio: | idUS. Depósito de Investigación de la Universidad de Sevilla |
| OAI Identifier: | oai:idus.us.es:11441/33859 |
| Acceso en línea: | http://hdl.handle.net/11441/33859 https://doi.org/10.1080/02102412.2008.10779654 |
| Access Level: | acceso abierto |
| Palabra clave: | Efecto Industria Negociación Colectiva Rentabilidades Anormales Competencia Spillover Effect Collective Bargaining Abnormal Returns Competition |
| Sumario: | The aim of this paper is to analyse the reaction of the stock prices of competing companies to the signature of a fi rm-level collective agreement. Considering that this type of agreement slants to the rise the wages of these fi rms with respect to those of the sector, we have found empirical evidence that, for the Spanish Market, a fi rm-level agreement incorporates information that could be negatively considered by the investors of the companies which sign own agreement. This would entail a sale of the affected titles whose price would then fall. This paper analyses whether this event affects the stock price of competing companies, that is, whether a spillover effect exist. The arrival of the new information inherent in the signature of the agreement could have a different effect on competing companies based on the type of competition in their industry. The general results of this paper confi rm the spillover effect, although different reactions are observed depending on the industry to which the company belongs and their level of concentration. |
|---|