International Transmission of the 2007-2009 Financial Crisis: Evidence from Japan

Kaoru Hosono, Miho Takizawa, Kotaro Tsuru

Research output: Contribution to journalArticle

1 Citation (Scopus)


We investigate the international transmission of the 2007-2009 financial crisis to Japanese firms by examining both stock returns and changes in operating performance during the crisis. Our results indicate that Japanese firms were affected by the crisis mainly through the trade channel in both stock returns and changes in operating performance. We also find that the liquidity channel played a role in the fall of stock returns in response to the crisis and in the changes in return on assets during the first year of the crisis. We obtain weak evidence for the credit crunch channel and no evidence to support the trade finance channel.

Original languageEnglish
JournalJapanese Economic Review
Publication statusAccepted/In press - 2016


ASJC Scopus subject areas

  • Economics and Econometrics

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