The role of political connections in bad times: Evidence from the COVID-19 pandemic

政治关系在困境中的作用:来自新冠疫情的证据

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Abstract

This study investigates the relationship between political connections and firm financial performance during the COVID-19 pandemic. Using a difference-in-differences methodology, we found that politically connected enterprises paid more taxes, employed more employees, and suffered financial performance. This study enriches the literature on the impact of COVID-19 on enterprises and provides suggestions for regulators.

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