Do Pakistan and International Cricket go Together: An Empirical Examination of Pakistan Economy and PSX

Abstract

This study has emphasized on assessing the impact of intentional and PSL cricket matches played in Pakistan on economy of Pakistan. This study has considered international cricket matches in Pakistan and PSL matches in Pakistan as the independent variables. Whereas, economy of Pakistan has been considered as the dependent variable in this study. Meanwhile, the major emphasis in this study has been on assessing the relationship between international cricket matches in Pakistan and PSL matches in Pakistan (independent variables) and economy of Pakistan (dependent variable) in Pakistan. Secondary sources of data (official websites of Pakistan Stock Exchange and State Bank of Pakistan) have been used for data collection regarding variables of this study from the period of 2015 – 2019 (5 years). A sample size of 250 observations has been finalized to represent the entire population. Collected data has then been analyzed through statistical instruments such as correlation and regression by using Stata. Based on the findings, it has been concluded that international cricket matches in Pakistan and PSL matches in Pakistan positively impacts share prices in Pakistan. Conclusively, it has been proved that international and PSL cricket matches in Pakistan are having significant positive impact on Pakistan Stock Exchange (PSX) and economy of Pakistan.