Using information diffusion models to estimate the impacts of regulatory events on publicly traded firms

• 成果类型: Article
• 署名作者: Boardman, A; Vertinsky, I; Whistler, D
• 刊物名称: JOURNAL OF PUBLIC ECONOMICS
• ISSN/ISSBN: 0047-2727
• DOI: 10.1016/S0047-2727(96)01582-4
• 发表日期: 1997
• 页码: 283-300
• 关键词: Regulation; event studies; diffusion models; northern spotted owl

摘要

Analysis and evaluation of regulatory actions require inexpensive and timely information about resultant costs and benefits. This paper extends the traditional 'event study' methodology for assessing the impact of regulatory actions on the value of publicly traded firms. We use diffusion theory to construct several models of how markets adjust to regulatory events. Ex ante preference for a particular model is based on prior knowledge about the characteristics of the regulatory event and information diffusion patterns. We demonstrate the use of the methodology by applying it to an analysis of the impacts of a regulatory action taken to protect the northern spotted owl.