Using a sample of Chinese listed firms for the period 2006–2021, this paper constructs dynamic stock networks annually using symbolization and mutual information methods, and investigates the impact of stock network centrality on one-year-ahead stock price crash risk with the help of the bad news hoarding mechanism. The authors find robust evidence that firms with higher centrality are less likely to experience stock price crashes in the future. An examination of underlying mechanisms suggests that being at the center of the stock network enha...
