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The Performance of Selected Listed Firms in Jordan Between Two Crises

Author

Listed:
  • Elham Mohammad Alhaj Yousef

    (Economic researcher in The Excellencors for Training and Performance Development Company. Amman, Jordan)

  • Eman Abdel Khalik Fseifes

    (Economic researcher in Orange Company for communications services. Amman, Jordan.)

Abstract

This study aims at investigating the impact of Covid-19 pandemic and Global Financial Crisis (GFC) on the performance of selected listed firms in Jordan. To achieve this objective, the study uses panel data for twenty firms over the period 2001-2020, obtained from Amman Stock Exchange database. All the study variables were found to be stationary at level, therefore, fixed and random effect models were applied to estimate two econometric equations with two performance indices. The results have revealed that both inflation and GFC have insignificant effect on the profitability of these firms, while debt ratio has a significant negative impact on their performance. The outcomes have also demonstrated the significant negative impact of Covid-19 pandemic on the profitability of such firms. Based on these results, the study has introduced some recommendations that may help in mitigating the adverse consequences of Covid-19 pandemic and in improving the profitability of Jordanian firms.

Suggested Citation

  • Elham Mohammad Alhaj Yousef & Eman Abdel Khalik Fseifes, 2022. "The Performance of Selected Listed Firms in Jordan Between Two Crises," International Journal of Economics and Financial Issues, Econjournals, vol. 12(3), pages 1-9, May.
    • Handle: RePEc:eco:journ1:2022-03-1
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    References listed on IDEAS

    as
    1. Alper, Deger & Anbar, Adem, 2011. "Bank Specific and Macroeconomic Determinants of Commercial Bank Profitability: Empirical Evidence from Turkey," Business and Economics Research Journal, Uludag University, Faculty of Economics and Administrative Sciences, vol. 2(2), pages 139-139, April.
    2. Ramachandran Azhagaiah & Candasamy Gavoury, 2011. "The Impact of Capital Structure on Profitability with Special Reference to IT Industry in India vs. Domestic Products," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 9(4 (Winter), pages 371-392.
    3. Fábio Dias Duarte & Ana Paula Matias Gama & Mohamed Azzim Gulamhussen, 2018. "Defaults in bank loans to SMEs during the financial crisis," Small Business Economics, Springer, vol. 51(3), pages 591-608, October.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    Covid-19 Pandemic; Global Financial Crisis; Performance; Panel Data;
    All these keywords.

    JEL classification:

    • I15 - Health, Education, and Welfare - - Health - - - Health and Economic Development
    • G01 - Financial Economics - - General - - - Financial Crises
    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models

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