Migration, Spillovers, and Trade Diversion : The Impact of Internationalization on Stock Market Liquidity

Levine, Ross ; Schmukler, Sergio L.

World Bank, Washington, DC

关键词: CAPITAL FLOWS;    CAPITAL MARKETS;    COMPANY;    CORPORATION;    DIVERSIFICATION;   

DOI  :  10.1596/1813-9450-3046
RP-ID  :  WPS3046

学科分类：社会科学、人文和艺术（综合）

来源: World Bank Open Knowledge Repository

【 摘 要 】

What is the impact of firms thatcross-list, issue depositary receipts, or raise capital ininternational stock markets on the liquidity of remainingfirms in domestic markets? Using a panel of over 3,200 firmsfrom 55 countries during 1989-2000, Levine and Schmuklerfind that internationalization reduces the liquidity ofdomestic firms through two channels. First, the trading ofinternational firms migrates from domestic to internationalmarkets and the reduction in domestic liquidity ofinternational firms has negative spillover effects ondomestic firm liquidity. Second, there is trade diversionwithin domestic markets as liquidity shifts out of domesticfirms and into international firms.