The Survey of the Relationship between Economic Criteria for Evaluating the Performance and Stock Liquidity in Tehran Stock Exchange
Abstract
economic value added (REVA) and market value added (MVA) and it investigates their relationship
with criteria of turnover and Amihud illiquidity during 2007-2011 for 532 companies listed in Tehran
Stock Exchange.
The results show that there is a significant relationship between criteria of liquidity and firm
performance. These results which were estimated by the consolidated regression model (PANEL
DATA) show that there is a positive relationship between REVA stock liquidity and there is also a
stronger positive relationship between market economic value added and stock liquidity. In addition,
market economic value added shows more percentage of changes, however small this difference, than
REVA does.
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