Stock Returns, Productivity, and Corruption in Eight European Fast-Emerging Markets

摘要: This article addresses the impact of productivity, corruption, and trade openness on stock returns of 265 industrial companies listed in eight Eastern European fast-emerging markets, over 2004–2013 period. Through a three-factor model that includes both measures at firm level macro-level control variables, our findings suggest country corruption index is negatively correlated with total annual return stocks sample. Moreover, most productive firms are featured by higher returns, while leverage seems not to be key predictor returns. In addition, uncovers innovative evidence about returns due its connection recent financial crisis.