TableĀ 1

Variable definitions

VariableAbbreviationDescriptionData sources
Cumulative abnormal returnsCARThe cumulative abnormal return over the event window. The abnormal return is computed as the difference between the actual raw returns and the predicted returns based on the market modelthe wall street journal database and www.investing.com
NATO membersNATOA dummy variable that takes one for NATO member countries and 0 otherwisehttps://www.nato.int/cps/en/natohq/nato_countries.htm
Size of CompanySIZELogarithm of market capitalizationFull Year 2021 Financial Statement
Board SizeBSIZENumber of DirectorFull Year 2021 Financial Statement
InflationINFInflation rate, average consumer prices, Annual percent change (2021)https://www.imf.org/external/datamapper/PCPIPCH@WEO/OEMDC/ADVEC/WEOWORLD
Gross domestic productGDPGDP per capita, current prices; Purchasing power parity; international dollars per capita (2021)https://www.imf.org/external/datamapper/PPPPC@WEO/OEMDC/ADVEC/WEOWORLD

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