|
|
|
|
||||
|
||||
Do Demand Curves for Small Stocks Slope Down?Ernest N. BiktimirovBrock University - Faculty of Business Arnold R. CowanIowa State University Bradford D. JordanUniversity of Kentucky - Gatton College of Business and Economics Journal of Financial Research, Vol. 27, No. 2, pp. 161-178, June 2004 Abstract: Stocks added to the S&P 500 generally experience positive abnormal returns following the announcement. Several competing explanations exist for this reaction, but small sample sizes and other issues make it difficult to distinguish among them. We examine this subject using the small-cap Russell 2000 index, which has a number of advantages over the S&P 500 in this context. Our primary finding is that stocks added to or deleted from the Russell 2000 experience significant changes in stock price and trading volume, but the effect is transitory. The results support the price pressure hypothesis.
JEL Classification: G12, G14 Accepted Paper SeriesDate posted: August 22, 2003Suggested CitationContact Information
|
|
||||||||||||||||||||
© 2013 Social Science Electronic Publishing, Inc. All Rights Reserved.
FAQ
Terms of Use
Privacy Policy
Copyright
This page was processed by apollo2 in 0.391 seconds
