This research examines the impact of the social costs of bankruptcy and government intervention on stock price crash risk. The study's statistical population consists of 166 companies listed on the Tehran Stock Exchange from 2013 to 2022. Given that the dependent variable in this research is binary (zero and one), logistic regression was used to analyze the hypotheses. The results indicated that as the social costs of bankruptcy for companies increase, the risk of stock price crashes for these companies decreases. The degree of influence of the social costs of bankruptcy on the risk of stock price crashes increased with government intervention. It can be said that in situations where a significant portion of a company's shares is owned by the government or state-owned enterprises, the negative impact of the social costs of bankruptcy on the risk of stock price crashes is greater.
Keywords: Social costs of bankruptcy, government intervention, stock price crash risk
Torabi,A. A. (2025). Social Costs of Bankruptcy, Government Intervention, and Stock Price Crash Risk. International Journal of Resistive Economics, 13(2), 22-33. doi: 10.22034/oajre.2024.493270.1098
MLA
Torabi,A. A. . "Social Costs of Bankruptcy, Government Intervention, and Stock Price Crash Risk", International Journal of Resistive Economics, 13, 2, 2025, 22-33. doi: 10.22034/oajre.2024.493270.1098
HARVARD
Torabi A. A. (2025). 'Social Costs of Bankruptcy, Government Intervention, and Stock Price Crash Risk', International Journal of Resistive Economics, 13(2), pp. 22-33. doi: 10.22034/oajre.2024.493270.1098
CHICAGO
A. A. Torabi, "Social Costs of Bankruptcy, Government Intervention, and Stock Price Crash Risk," International Journal of Resistive Economics, 13 2 (2025): 22-33, doi: 10.22034/oajre.2024.493270.1098
VANCOUVER
Torabi A. A. Social Costs of Bankruptcy, Government Intervention, and Stock Price Crash Risk. International Journal of Resistive Economics, 2025; 13(2): 22-33. doi: 10.22034/oajre.2024.493270.1098
