Senti chi (ne) parla: Twitter, bail-in e banche in crisi (Look who’s talking: Twitter, bail-in and banking crisis)

  • Elvira Anna Graziano
  • Francesca Vicentini
Keywords: bail-in; banking crisis; media coverage; media sentiment; text analysis; Social network Analysis

Abstract

Purpose of the paper: This article investigates some issues related to the circulation of news in terms of bail-in and recent bank events.

Methodology: The methodology used involves the combination of Social network Analysis (SNA) and Text analysis. Specifically, the SNA has been applied to highlight the central actors’ role in spreading news on the Twitter platform from November 2015 to March 2016. The Text analysis was used to analyze the semantic aspect of news.

Results: Central media propagation is represented by traditional media through the use of their official accounts. Very bad content and rather harsh tones are found for news on the cases of intermediaries in difficulty, including the Banca Etruria story, while a substantial neutrality is recorded in the case of the bail-in issue.

Research limitations: The study may include further social networks to extend the analysis and see if the sentiment undergoes changes.

Practical implications: The article implications are tied to a sound and disciplined communication policy, which could produce two types of benefits. The former is the use of unconventional channels like Twitter, which could allow savers to make more informed decisions. The latter is an adequate perception of transparency, which could increase confidence in the banking system and reduce the risk of financial instability.

Originality of the paper: Original is the combination of Social network Analysis and Text analysis that allow to extend existing literature on bail-in.

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Published
2019-10-03