{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2026,6,16]],"date-time":"2026-06-16T05:03:24Z","timestamp":1781586204900,"version":"3.54.5"},"reference-count":52,"publisher":"The Econometric Society","issue":"2","license":[{"start":{"date-parts":[[2022,1,1]],"date-time":"2022-01-01T00:00:00Z","timestamp":1640995200000},"content-version":"unspecified","delay-in-days":0,"URL":"http:\/\/creativecommons.org\/licenses\/by-nc\/4.0\/"}],"funder":[{"DOI":"10.13039\/501100006752","name":"Universidade do Porto","doi-asserted-by":"publisher","id":[{"id":"10.13039\/501100006752","id-type":"DOI","asserted-by":"publisher"}]},{"DOI":"10.13039\/100012296","name":"National Bureau of Economic Research","doi-asserted-by":"publisher","id":[{"id":"10.13039\/100012296","id-type":"DOI","asserted-by":"publisher"}]},{"DOI":"10.13039\/501100003329","name":"Ministerio de Econom\u00eda y Competitividad","doi-asserted-by":"publisher","id":[{"id":"10.13039\/501100003329","id-type":"DOI","asserted-by":"publisher"}]},{"DOI":"10.13039\/501100011033","name":"Agencia Estatal de Investigaci\u00f3n","doi-asserted-by":"publisher","id":[{"id":"10.13039\/501100011033","id-type":"DOI","asserted-by":"publisher"}]}],"content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":["QE"],"abstract":"<jats:p>Does economic uncertainty promote the implementation of structural reforms? We answer this question using one of the most exhaustive cross\u2010country panel data sets on reforms in six major areas and measuring economic uncertainty with stock market volatility. To identify causality, we exploit exogenous differential variation in countries' exposure to foreign volatility shocks due to predetermined and time\u2010invariant bilateral characteristics. Across all specifications, we find that stock market volatility has a positive and significant effect on the adoption of reforms. This result is robust to the inclusion of a large number of controls, such as political variables, economic variables, crisis indicators, and a host of country, reform and time fixed effects, as well as across various approaches for accommodating heterogeneous trends and contemporaneous shocks. Overall, this evidence suggests that times of market turmoil, which are characterized by a high degree of uncertainty, may facilitate the implementation of reforms that would otherwise not pass.<\/jats:p>","DOI":"10.3982\/qe1551","type":"journal-article","created":{"date-parts":[[2022,5,2]],"date-time":"2022-05-02T13:01:03Z","timestamp":1651496463000},"page":"467-504","source":"Crossref","is-referenced-by-count":23,"title":["Economic uncertainty and structural reforms: Evidence from stock market volatility"],"prefix":"10.3982","volume":"13","author":[{"given":"Alessandra","family":"Bonfiglioli","sequence":"first","affiliation":[{"name":"School of Economics and Finance, Queen Mary University of London"},{"name":"CEPR"}],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Rosario","family":"Crin\u00f2","sequence":"additional","affiliation":[{"name":"Department of Economics, University of Bergamo"},{"name":"CEPR"},{"name":"CESifo"}],"role":[{"vocabulary":"crossref","role":"author"}]},{"given":"Gino","family":"Gancia","sequence":"additional","affiliation":[{"name":"School of Economics and Finance, Queen Mary University of London"},{"name":"CEPR"}],"role":[{"vocabulary":"crossref","role":"author"}]}],"member":"2359","published-online":{"date-parts":[[2022]]},"reference":[{"key":"quan200205-bib-0001","doi-asserted-by":"crossref","first-page":"66","DOI":"10.1257\/0002828053828699","volume":"95","author":"Abiad","year":"2005","journal-title":"American Economic Review"},{"key":"quan200205-bib-0002","first-page":"489","volume":"27","author":"Alesina","year":"1998","journal-title":"Economic Policy"},{"key":"quan200205-bib-0003","doi-asserted-by":"crossref","first-page":"1","DOI":"10.2307\/30036020","volume":"53","author":"Alesina","year":"2006","journal-title":"IMF Staff Papers"},{"key":"quan200205-bib-0004","doi-asserted-by":"crossref","first-page":"829","DOI":"10.2307\/2937875","volume":"105","author":"Alesina","year":"1990","journal-title":"Quarterly Journal of Economics"},{"key":"quan200205-bib-0005","first-page":"1170","volume":"81","author":"Alesina","year":"1991","journal-title":"American Economic Review"},{"key":"quan200205-bib-0006","doi-asserted-by":"crossref","first-page":"1425","DOI":"10.1080\/09603100701857922","volume":"18","author":"Arnold","year":"2008","journal-title":"Applied Financial Economics"},{"key":"quan200205-bib-0007","doi-asserted-by":"crossref","first-page":"22","DOI":"10.1016\/j.jinteco.2006.02.002","volume":"71","author":"Aviat","year":"2007","journal-title":"Journal of International Economics"},{"key":"quan200205-bib-0008","doi-asserted-by":"crossref","unstructured":"Baker, Scott and Nicholas Bloom (2013), \u201cDoes uncertainty drive business cycles? 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