BUSI 4500 Chapter Notes - Chapter 5: Event Study, Capital Asset Pricing Model, Secondary Source
7 May 2018
School
Department
Course
Professor
Research method
1. data cleaning
a. present quality of data results
b. avoid selection bias
c. what’s wrong?
i. No value input
ii. Impossible value
iii. Inconsistent
d. Solution
i. Double check data using secondary source
ii. Use scatter gram and visual inspection, look for correct
value
iii. Check data at origin
2. type of research studies
a. data analysis
b. experimental/ observational: scientific
c. survey based studies: cause chaos/ bias
d. longitudinal
i. observe firm overtime instead of snapshot
e. metastudies
i. mature research field
ii. able to categorize and compile different studies and come
with new one
3. event study
a. event studies: examine behavior of firm’s performance around
corporate event
b. event: announcement that produce large change in value of firm
over period of time
c. event type
i. firm specific
ii. industry specific
iii. economy wide
iv. regulatory
d. performance measure
i. market performance
ii. operating performance
e. requirement
i. correct date + hypothesis
ii. model of expectation
iii. right statistical test
f. period: estimation & event
g. type of model
i. single factor model
ii. CAPM
iii. Fama French
find more resources at oneclass.com
find more resources at oneclass.com
