Anmerkungen:
In: International Journal of Diplomacy and Economy
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments July 6, 2022 erstellt
Beschreibung:
China's wolf warrior diplomacy has garnered significant global attention since April 2020, with concerns arising about potential adverse effects on the Chinese economy. This study aims to shed light on this issue by employing weekly Google Trends data from April 2020 to February 2022, and introducing a novel "wolf warrior diplomacy index" as a proxy to gauge the aggressiveness or assertiveness of Chinese foreign policy. Through the application of an exponential generalized autoregressive conditional heteroskedastic model, our findings reveal that the impact of the wolf warrior diplomacy index on the Chinese stock markets, serving as a proxy variable for the Chinese economy, is statistically insignificant. These results are further supported by various robustness tests and fundamental data. Consequently, our study implies that while a nation's foreign policy might have the potential to influence its economy, the primary driving forces behind economic performance are likely to be rooted in fundamental factors