One study concluded that after and in response to 9/11, “there was an increase in systematic risk on a set of airline stocks” (Homan 2009). The study went on to say that 9/11 also significantly increased the idiosyncratic risk of the firms and that this, combined with the increase in systematic risk, greatly increased the overall market risk of the studied firms (Homan 2009). The increased volatility that resulted from this increased risk then in turn caused a reduction in, “trading activity and market arbitrage” (Homan
One study concluded that after and in response to 9/11, “there was an increase in systematic risk on a set of airline stocks” (Homan 2009). The study went on to say that 9/11 also significantly increased the idiosyncratic risk of the firms and that this, combined with the increase in systematic risk, greatly increased the overall market risk of the studied firms (Homan 2009). The increased volatility that resulted from this increased risk then in turn caused a reduction in, “trading activity and market arbitrage” (Homan