Market manipulation and innovation

B-Tier
Journal: Journal of Banking & Finance
Year: 2020
Volume: 120
Issue: C

Authors (4)

Cumming, Douglas (not in RePEc) Ji, Shan (not in RePEc) Peter, Rejo (not in RePEc) Tarsalewska, Monika (University of Exeter)

Score contribution per author:

0.503 = (α=2.01 / 4 authors) × 1.0x B-tier

α: calibrated so average coauthorship-adjusted count equals average raw count

Abstract

End-of-day stock price manipulation is generally associated with short-termism, long-term damage to equity values, and reduced incentives for employees to innovate. We use a sample of suspected stock price manipulation events based on intraday data for stocks from nine countries over eight years and find evidence of negative effects of market manipulation on innovation. We show that these negative effects are particularly harmful to innovation in markets with low intellectual property rights and high shareholder protection.

Technical Details

RePEc Handle
repec:eee:jbfina:v:120:y:2020:i:c:s0378426620302193
Journal Field
Finance
Author Count
4
Added to Database
2026-01-25