Cultural Dimensions and Sustainable Stock Exchanges Returns in the Asian Region

Darsono, Susilo Nur Aji Cokro; Wong, Wing-Keung; Nguyen, Tran Thai Ha; Jati, Hafsah Fajar; Dewanti, Diah Setyawati

doi:10.18196/jai.v22i1.10318

Cited by 11 publications

(14 citation statements)

References 30 publications

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“…The research demonstrates that the Uncertainty Avoidance Index does not affect stock returns. This result reflects the research of Darsono et al (2021), which found a positive coefficient for UAI but does not support the study which states that UAI has a positive impact on sustainable stock returns in the Asian region. The countries studied are evenly divided between countries with significant UAI scores and countries with more minor UAI scores, with 50% of countries in the Asian region and 80% of countries in the European region having significant UAI scores.…”

Section: Discussioncontrasting

confidence: 99%

“…The results of the research show that IDV does affect stock returns. This result supports the research of Darsono et al (2021), which states that IDV positively impacts sustainable stock returns in the Asian region. The majority of the studied countries have low IDV scores, indicating that most of them are collectivist countries.…”

Section: Discussionsupporting

confidence: 90%

“…Significant differences can occur because there are differences in the samples in the two studies. The majority of the samples in this study are countries in the Asian region and support (Darsono et al, 2021) regarding the positive impact of PDI, but countries in the European region were not part of the study. Bochner & Hesketh (1994) stated that countries with high levels of power distance are reluctant to refute directives from the authorities.…”

Section: Discussionmentioning

confidence: 70%

“…According to these results, LTO does not affect stock returns. This contradicts Darsono et al (2021), who state that LTO has a positive impact on sustainable stock returns in the Asian region. The majority of the countries studied have large LTO values.…”

Section: Discussionmentioning

confidence: 80%

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Stock Returns During Religious Holidays: The Role of Culture and Belief

Utami

Pratama

2021

5002

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This research investigates the effects of culture and belief on stock returns in Asia and Europe during religious holidays. Culture was proxied by power distance, individualism, uncertainty avoidance, and long-term orientation. Belief was proxied by government regulation, government favoritism, and social regulation. Seventeen stock indices were selected, and the data employed in this research are stock returns during religious holidays commemorated by each country listed in the top world indices from 2016 to 2020. A quantitative method was employed and the data analysis was done using a multiple linear regression method with panel data. This research shows that individualism, government regulation, favoritism, and social regulation positively affect stock returns during religious holidays. This implies that investors recognize stock market characteristics to facilitate investment decision-making. It is recommended that investors maximize positive stock returns found in individualistic countries and countries with high government regulation, favoritism, and social regulation.

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Section: Discussioncontrasting

confidence: 99%

Section: Discussionsupporting

confidence: 90%

Section: Discussionmentioning

confidence: 70%

Section: Discussionmentioning

confidence: 80%

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Stock Returns During Religious Holidays: The Role of Culture and Belief

Utami

Pratama

2021

5002

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“…In this context, the role of government emerges as the driver of the economy with fiscal and monetary instruments. Nevertheless, considerable diversity exists among the ASEAN Member States regarding their economic, social, and cultural development (Darsono et al, 2021). The size and scope of this diversity pose challenges to analyzing ASEAN as a single, homogenous bloc of nations.…”

Section: Introductionmentioning

confidence: 99%

The Impacts of Tax Revenue and Investment on the Economic Growth in Southeast Asian Countries

Nguyen

Darsono

2022

JAI

Self Cite

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Research aims: This study focuses on the correlation between tax revenue, investment, and economic growth, taking into account the non-linear effects of tax revenue.Design/Methodology/Approach: Macro data of nine countries in ASEAN (including Brunei, Cambodia, Indonesia, Laos, Malaysia, Philippines, Singapore, Thailand, and Vietnam) in 2000 - 2020 were extracted from the World Bank database. This research employed panel data estimations.Research findings: This study found statistical evidence of a negative effect of tax revenue on economic growth. However, when considering the non-linear effects of tax revenue, the empirical findings showed that higher tax revenue could reduce the disadvantages of tax impacts to boost economic growth. The negative effect of taxes is as obvious as the economic growth theories, but it depends on the taxation revenue. Lower tax revenue may encourage saving and investment, but it also leads to an increased government deficit, reducing economic growth through government debt, spending and investment. Moreover, this study provides consistent evidence of investment’s positive effect on economic growth in ASEAN countries during the research period.Theoretical contribution/Originality: The theoretical contribution provides evidence on the direct effect of tax revenue and investment on economic growth with a broader understanding of the tax’s non-linear effects and investment contributions in the ASEAN. The study confirms the vital role of government activity in regulating the development of the economy through taxation and investment. Practitioner/Policy implication: The severe impact of the COVID-19 pandemic has increased macroeconomic uncertainties, including uncertainty over savings, investment, and spending, potentially leading to tax revenue and investment losses. It, in turn, affects economic activities, so it requires careful consideration. Learned lessons from this study can prepare for future economic shocks and financial crises to reduce negative impacts on economic growth, including their adverse tax revenue effects.Research limitation: This study is limited by looking at the tax revenue ratio overview, which ignores the tax structure due to the lack of data collection. The following studies need to clarify the tax structure of ASEAN countries to determine which tax gives a negative impact/and which tax has a positive effect on economic growth.

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Day-of-the-week effect: a meta-analysis

Grebe,

Schiereck

2024

Eurasian Econ Rev

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This study conducts a meta-analysis on the day-of-the-week effect to shed more light on the replication crisis of this stock market anomaly. The findings confirm that Mondays and Tuesdays provide, on average, lower daily returns. In addition, Wednesdays and Fridays indicate higher returns, with an unexpectedly strong middle-of-the-week effect on Wednesdays. The study highlights the influence of study design on these findings and notes a more substantial effect in the 1980s and 1990s. While differences in empirical methods do not impact the anomaly, index choices affect findings on day-dependent returns. The real estate sector especially stands out with a stronger day-of-the-week effect. However, geographic differences are mostly insignificant except for Oceania. Cultural differences demonstrate a weak but significant effect on abnormal daily returns. From a meta-perspective, outliers remain an essential driver for this stock market anomaly, indicating that study design is not the only factor driving the replication crisis.

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Cultural Dimensions and Sustainable Stock Exchanges Returns in the Asian Region

Cited by 11 publications

References 30 publications

Stock Returns During Religious Holidays: The Role of Culture and Belief

Stock Returns During Religious Holidays: The Role of Culture and Belief

The Impacts of Tax Revenue and Investment on the Economic Growth in Southeast Asian Countries

Day-of-the-week effect: a meta-analysis

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