Please use this identifier to cite or link to this item: http://arks.princeton.edu/ark:/88435/dsp01j6731377t

 Title: Changing Stock Market Response to Announcement of Job Loss: Evidence from 1970-1997 Authors: Hallock, Kevin Keywords: job losslayoffsdownsizing Issue Date: 1-Jan-1999 Series/Report no.: Working Papers (Princeton University. Industrial Relations Section) ; 414 Abstract: We report preliminary results of an analysis of the reaction of stock prices to announcements of reductions in force (RIFs) using a large sample of such announcements during the 1970-1997 period collected from the Wall Street Journal index. We ﬁnd some evidence that the stock market reaction to the announcement of RIFs has become less negative over this period. While a complete understanding of the underlying causes of this ﬁnding awaits further research, one possible interpretation is that, over the last three decades, RIF s designed to improve eﬁiciency have become more common relative to RIFs designed to cope with reductions in product demand. URI: http://arks.princeton.edu/ark:/88435/dsp01j6731377t Appears in Collections: IRS Working Papers

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