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Journal : aics

Price Manipulation During the Indonesian Presidential Election of 2019: Does it Matter Toward Return, Volatility and Liquidity? Kris Ossy Novian; Intan Nurul Awwaliyah; Hadi Paramu
Conference Series Vol. 3 No. 1 (2020): International Conference on Global Innovation and Trends in Economy 2020
Publisher : ADI Publisher

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Abstract

The main purpose of this research is to evaluate if stocks indicated political content during the 2019 Indonesia’s presidential election in the form of price manipulation. This study uses a quantitative method by employing an independent sample t-test to test the hypothesis. Sample formation is divided into two broad categories which are affiliated company stocks and non-affiliated company stocks. Data gathered in this study are return, volatility, and liquidity from March 23 to April 17, 2019. The results show that there is no evidence of price manipulation during the presidential election in those three variables including return (0.0870), volatility (0.5630) and liquidity (0.0800). The overall null hypothesis cannot be rejected since the t-statistics is smaller than the t-table (2.0243). However, there is an indicative of the stock price decrease which occurred during a period of observation from the 2019 presidential election. Although the price manipulation is not evidence during the election, yet strengthening the stock market regulation is necessary in order to improve investor’s confidence to invest in Indonesia in particular during political events.
Co-Authors A.A. Ketut Agung Cahyawan W Adhitya Wardhono Ahyar, Muhammad Alfarisy, Fariz Kustiawan Althof Sandi Ikmal Huda Alvina Octaviani Putri Anifatul Hanim Ariwan Joko Nusbantoro Artoto Arkundato Cholyubi Jusuf Ciplis Gema Qori'ah Debbi Fauziah Ulfah Dewi Prihatini Dewi, Aprilia Sintya Dian Permata Sari Dina Helianti Eka Prasasti Nur Rachmani Elok Sri Utami Evita Soliha Hani Evri Lala Sari Ferawati, Indah Wahyu Fifteen Aprila Fajrin Fitranti, Ajeng Gaguk Jatisukamto Gusminto, Eka Bambang Hairul Anwar Hairul Anwar, Hairul Hari Sukarno Heri Istanto Ida Ayu Putu Sri Widnyani Intan Nurul Awwaliyah Isti Fadah Iwan Sugihartono Khairi, Aji Rayyan Khairi Kris Ossy Novian Laily Ilman Widuri, Laily Ilman Lutfi Hakim M. Abd. Nasir M. Firdaus Melisa Puspita Dewi Misto Misto Moehammad Fathorrazi Moh. Fathorrozi Mohamad Dimyati Mohamad Dimyati Muhamad Iqbal N. Nurhayati Ni Nyoman Putu Martini G Novi Puspitasari Novi Puspitasari Nugraha, Ihza Abdhilla Nurhayati Nurul Qomariah Nyoman Gede Krishnabudi Purnamie Titisari Rachman, Alief Rizaldy Rahmawati, Ayu Febriyanti Dewi Resa Meita Ary Putri Restanto, Didik Pudji Risdiyanti, Arie Santi Dwie Lestari Sheilly Olivia Marcelinda Soetriono Soetriono Soni Sisbudi Harsono, Soni Sisbudi SUDARYANTO SUDARYANTO Suherman Suherman Sumardi, Nurul Afifah SUNARTO Sunarto Sunarto Susanto, Arnis Budi Tatang Ary Gumanti Tatok Endhiarto Tias Marganing Sih Triska Dewi Pramitasari Trisnani, Emy Dwi Ulfah, Debbi Fauziah Yuli Witono Yulia Indrawati Yusuf Fatoni