A special issue of Afro-Asian Journal of Finance and Accounting
The theme of this special issue is to assess the impact of the current global recession on financial markets. Its primary objective is to enrich our understanding of those complex inter-relationships that exist between real and financial markets within the context of global recession and financial market crises.
Given the extensive breadth and depth of the current global financial crisis, it is likely that the impact of the ensuing global recession on financial markets will be relatively severe and long-lasting. While developed, emerging, and frontier markets are all impacted by the present crisis, the immediate and longer-term effects are expected to vary given the differing characteristics of these markets.
In particular, we wish to focus attention on the impact of the crisis upon the Afro-Asian and Asia Pacific regions in the light of the specific features of this area. These features include important differences in
- the nature and development of economic systems;
- market structures, including scope of regulation and financial instruments;
- institutional frameworks; etc.
Potential topics include but are not restricted to:
- Analysis of linkages between real markets and financial markets, e.g. investigating the extent to which financial market prices (i) reflect and/or anticipate actual business conditions; (ii) represent or distort asset values in the real economy, before and during periods of crisis, etc.
- Analysis of linkages among financial markets, within and across countries, e.g. information efficiency of prices; financial contagion; market decoupling; flight-to-quality effects; transmission of return and volatility news across markets, etc.
- Cross-comparative studies that identify important differences between the Afro-Asian region and elsewhere relative to the causes and effects of observed linkages among markets.
- Impact of the crisis on diversification benefits; arbitrage opportunities; limits to arbitrage, etc.
- Impact of government responses to the crisis, e.g. large increases in the levels of government debt; stimulation packages; government bailouts and guarantees of financial institutions; changing regulation of financial institutions, including limits to short selling; interest rate policy, etc.
- Role of the crisis as a catalyst for major changes in economies and financial markets, e.g. fundamental change in industry composition; re-assessment of investment strategies by governments, superannuation funds, etc.
Submission deadline: 31 December, 2009