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Stock price responses to the eco-points programme for electrical household appliances: evidence from Japan

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  • Hanae Tamechika
  • Shin’ya Okuda

Abstract

This article examines the Japanese government’s ‘Project for Green Consumer Electronics to Promote Business through the Use of Eco-points’ and its economic impact on consumer electronics firms’ stock prices. There has been little research on the economic effect of this project. In order to achieve our aim, we employ event study methodology. Our results show that stock prices responded positively to programme adoption, thereby indicating that the programme had positive effects on the related firms’ performance. The results also show that the programme’s economic effects gradually decreased over each subsequent programme extension. This probably occurred because the programme targeted durable goods, which consumers do not replace frequently.

Suggested Citation

  • Hanae Tamechika & Shin’ya Okuda, 2017. "Stock price responses to the eco-points programme for electrical household appliances: evidence from Japan," Applied Economics, Taylor & Francis Journals, vol. 49(58), pages 5856-5864, December.
    • Handle: RePEc:taf:applec:v:49:y:2017:i:58:p:5856-5864
    DOI: 10.1080/00036846.2017.1352076
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    Cited by:

    1. Tamechika, Hanae, 2020. "Effects of Environment-Related Stimulus Policies: An Event Study Approach," 2020 Conference (64th), February 12-14, 2020, Perth, Western Australia 305244, Australian Agricultural and Resource Economics Society.

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