Measuring the effectiveness and impact of COVID-19 health policies on firms and UNSDGs:evidence from China

Abstract

Purpose: This paper documents and links firm- and country-level outcomes to the United Nations Sustainable Development Goals (UNSDGs) by portraying how the Chinese economy has fared during the COVID-19 crisis. It does so by shedding light on the factors that determine the effectiveness of health policies implemented in China. Design/methodology/approach: Unlike the prior literature, in which lagging performance measures are used, the authors use leading indicators with event study methodology to develop effectiveness scores and identify the determinants of effectiveness, including financial variables, firm infection, geographical location of the spread, travel bans, lockdown periods, policies of home quarantine, health innovations and other innovative measures undertaken by the Chinese authorities. Findings: The detailed disaggregated results show many dimensions where abnormal returns are indeed associated with various health policies and that the effectiveness, influenced by firm size, profitability, firm infection and location. The results remain robust when the authors control for various event windows and models and provide evidence of a strong UNSDG link, which the authors draw up a list. Research limitations/implications: Apart from the quantitative analysis approach, future studies can complement and add further insights by utilizing qualitative research approaches. Practical implications: The results offers robust evidence for policy-makers and firm managers on how a crisis of such proportions and subsequent health policies is affecting different firms and why. Social implications: The study shows how COVID-19 health policies open a new dimension in terms of energy demand reduction and lower emissions, factors linking to the UNSDGs. Originality/value: The study is the first to show detailed disaggregated results across many dimensions where abnormal returns are indeed associated with various health policies and that the effectiveness, influenced by firm size, profitability, firm infection and location.

Publication DOI: https://doi.org/10.1108/JEIM-02-2021-0077
Divisions: College of Business and Social Sciences > Aston Business School > Economics, Finance & Entrepreneurship
College of Business and Social Sciences > Aston Business School > Centre for Personal Financial Wellbeing
College of Business and Social Sciences > Aston Business School
Funding Information: This work was supported by the Shanghai Soft Science Research Funds [21692194900].
Additional Information: © 2021 Emerald Publishing. This AAM is deposited under the CC BY-NC 4.0 licence. Any reuse is allowed in accordance with the terms outlined by the licence. To reuse the AAM for commercial purposes, permission should be sought by contacting permissions@emeraldinsight.com. Funding Information: This work was supported by the Shanghai Soft Science Research Funds [21692194900].
Uncontrolled Keywords: Chinese stock market,COVID-19,Pandemic,UNSDGs effectiveness scores,Decision Sciences(all),Information Systems,Management of Technology and Innovation
Publication ISSN: 1758-7409
Last Modified: 13 Jun 2024 07:19
Date Deposited: 28 Sep 2021 07:56
Full Text Link:
Related URLs: http://www.scop ... tnerID=8YFLogxK (Scopus URL)
https://www.eme ... -0077/full/html (Publisher URL)
PURE Output Type: Article
Published Date: 2021-09-15
Published Online Date: 2021-09-15
Accepted Date: 2021-08-31
Authors: Yang, Minhua
Ramiah, Vikash
Pereira, Vijay
Temouri, Yama (ORCID Profile 0000-0003-3014-258X)
Behl, Abhishek

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