The Impact Of China’s Environmental Protection Policy On The Stock Price Of Related Industries

The stock market is an asset redistribution place for investment enterprises and speculators.It reflects the economic and financial status of each country and region,and is a barometer of economic status.Whether it is early or now,China’s stock market always have institutional weaknesses of the system.This is also the root reason why government to strengthen intervention.Under the national government which called"visible hand" intervention,the concept of "policy stock market" also came into being.The early "policy stock market" is to study the impact of government macroeconomic policies on the stock market,the most study of this aspect is the monetary policy.With the development of national policies and the stock market,the policy stock market can no longer simply be explained as the policy that can directly for the stock market.After that,it derived more articles on other major policy implications for the stock market.Including major political events,accidental factors,other related policies and so on.Under such a big background,the study of the impact of relevant policies on the stock market has important guiding significance for national policy making,financial supervision and improve the stock market.This paper uses Methodology of event analysis to study the impact of three environmental protection policies(2000-2016)promulgated on some enterprises.Compared the results of different years and different real economic contexts.Consider the impact of external economic environment on the study.The main sample data is derived from the relevant data in the securities market,include environmental protection enterprises,high energy consumption and high pollution enterprises,unrelated enterprises.The number of samples is 19 in each policy promulgation date.Deal with the related stock price data of the three environmental policy promulgation and then we can get the Average excess returns(AAR)and cumulative average excess returns(CAAR).After take some analysis and significance testing,the results of empirical test show that:On the whole,the impact of environmental policy promulgation on related enterprise is short and unstable.The stock market is slow to respond to the policy,and the impact time is short.There is a lack of policy efficiency on the stock market.The trend of the big market has a certain influence on the research of stock market which is influenced by the policy.The possibility of the securities market itself should be taken into account and the actual influence of the policy should be judged reasonably.The advance reaction of the stock market proves the existence of "internal sources",thus affecting the stock market.The analysis of the stock market effect of the environmental protection policy reflects the response of the stock market to major policies.To study whether the stock price data of the relevant companies are fluctuating by the policy,testing the market sensitivity,and providing relevant policy suggestions for the improvement of the stock market.At the same time,it can provide some reference for the study of "policy stock market" in China.