Abstract
During the Covid-19 pandemic, the Vietnamese government has actively implemented various policies to achieve dual objectives: (i) to minimize the loss of life due to the infection; and (ii) to support economic growth. This paper is conducted to examine the effect of the government’s containment and closure policy on the stock market quality in Vietnam. Unlike other papers, we focus exclusively on market quality during the pandemic. We find that the policies appear to positively affect the market quality, except for closing-school policy (negative effect) and international travel (no effect). We argue that the government should sustain the policies until the wide availability of the vaccine to support the stock market quality in the near future.
Highlights
Vietnam has generally been considered one of the few countries to control the widespread of the Covid-19 pandemic successfully
The daily average quoted, effective and realized spreads are 187 to 328 Vietnam dong (VND) and the average quotation size is around 23,895 shares
This study examines the effect of the Vietnamese government policies on containment and closure to the quality of the stock market during the Covid-19 over January-September 2020 period
Summary
Vietnam has generally been considered one of the few countries to control the widespread of the Covid-19 pandemic successfully. The country recorded the first confirmed case in the early January 2020, leading to a complete lockdown in the nation over the first two weeks of April 2020. The second wave of the pandemic hit the country again three months later in July 2020 in Danang’s tourist-hub city in the central part of Vietnam. The government had partially locked down the affected provinces/cities only with the conservative policies supporting the economy. Vietnam’s well-known strategy includes a rapid introduction of containment measures and aggressive and cost-effective control measures
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
