Measuring economic diplomacy using event study method: the case of EU-China summit talks and Airbus stock price changes

Abstract Economic diplomacy receives growing interest in the field of international relations research ever since end cold war. Despite vast number literature on economic diplomacy, there are not many studies measuring effect quantitatively. The purpose this paper is to propose a method measure using event study that observes influence specific events stock prices. In study, summit talks between EU and China selected as considered form Airbus price, proxy reaction was observed verify it. categorized by type participants whether top politicians were included or not. result shows that, among all talks, price positively, it statistically significant.