Newspaper Censorship in China: Evidence from Tunneling Scandals

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Media dissemination has an important function in facilitating price discovery. The political pressure that restricts media dissemination can hinder this function and affect investors’ perceptions. Han Wu discusses the magnitude and economic consequences of China’s newspaper censorship, which blocks further dissemination of firm-disclosed information, using a setting of “tunneling” scandals.

Image courtesy of Han Wu

Image courtesy of interviewee

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