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Uncertainty, corporate investment, and hiring: The case of COVID-19

Publication ,  Journal Article
Graham, JR; Ikeda, N; Inoue, K; Yamasaki, T
Published in: Economics Letters
November 1, 2024

We investigate how the COVID-19 pandemic affected CFOs’ self-assessed uncertainty about revenue growth and its impact on investment and hiring plans, using data from two consecutive surveys of the same CFOs conducted before and during the pandemic. Following the WHO's declaration, firm-level uncertainty increased, and investment plans were restrained. Furthermore, heightened firm-level uncertainty dampened firms' investment and hiring plans, even after controlling for other pandemic-related factors, as well as financial and investment flexibility.

Duke Scholars

Published In

Economics Letters

DOI

ISSN

0165-1765

Publication Date

November 1, 2024

Volume

244

Related Subject Headings

  • Economics
  • 38 Economics
  • 14 Economics
 

Citation

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Graham, J. R., Ikeda, N., Inoue, K., & Yamasaki, T. (2024). Uncertainty, corporate investment, and hiring: The case of COVID-19. Economics Letters, 244. https://doi.org/10.1016/j.econlet.2024.112025
Graham, J. R., N. Ikeda, K. Inoue, and T. Yamasaki. “Uncertainty, corporate investment, and hiring: The case of COVID-19.” Economics Letters 244 (November 1, 2024). https://doi.org/10.1016/j.econlet.2024.112025.
Graham JR, Ikeda N, Inoue K, Yamasaki T. Uncertainty, corporate investment, and hiring: The case of COVID-19. Economics Letters. 2024 Nov 1;244.
Graham, J. R., et al. “Uncertainty, corporate investment, and hiring: The case of COVID-19.” Economics Letters, vol. 244, Nov. 2024. Scopus, doi:10.1016/j.econlet.2024.112025.
Graham JR, Ikeda N, Inoue K, Yamasaki T. Uncertainty, corporate investment, and hiring: The case of COVID-19. Economics Letters. 2024 Nov 1;244.
Journal cover image

Published In

Economics Letters

DOI

ISSN

0165-1765

Publication Date

November 1, 2024

Volume

244

Related Subject Headings

  • Economics
  • 38 Economics
  • 14 Economics