Research Methods
Intermediate
Event Study
An empirical method that estimates abnormal market reactions around a specified event, usually using expected-return models.
Why It Matters
Event studies are central in securities litigation, disclosure research, merger analysis, and empirical corporate-law studies that rely on market-price reactions.
Selected Literature
A short list of directly relevant archive entries.
1970
Introductory
1980
Advanced
Accuracy of Predictions in the Event Study Methodology
Stephen J. Brown and Jerold B. Warner
Journal of Financial Economics
1984
Advanced
1997
Advanced
Related Cases
1988
Securities Regulation
Basic Inc. v. Levinson
485 U.S. 224 (1988)
Materiality of merger negotiations and reliance in Rule 10b-5 class actions.