The 2000 presidential election and the information cost of sensitive versus non-sensitive S&P 500 stocks

The financial costs of political uncertainty: Evidence from the 2016 US presidential elections

“…A significant number of past studies deal with the impacts of political uncertainty on financial market performances (see, inter alia, He, Lin, Wu, & Dufrene, ; Jones & Banning, ; Li & Born, ; Nippani & Medlin, ; Pantzalis et al, ; Sy & Al Zaman, , etc.). Most of these researches provide deep evidence revealing that political uncertainty significantly influences risk and return in financial markets.…”

“…In this case, positive price changes should be anticipated after the election, that is, until uncertainty about the policies to be achieved by the winner is resolved. A significant number of past studies deal with the impacts of political uncertainty on financial market performances (see, inter alia, He, Lin, Wu, & Dufrene, 2009;Jones & Banning, 2009;Li & Born, 2006;Nippani & Medlin, 2002;Pantzalis et al, 2000;Sy & Al Zaman, 2011, etc.). Most of these researches provide deep evidence revealing that political uncertainty significantly influences risk and return in financial markets.…”

“…Nippani and Arize (2005), Li and Born (2006) and He et al (2009) provided deep evidence that the heightened uncertainty surrounding the US presidential elections is sharply reflected in the behavior of stock prices. Nippani and Arize (2005) and He et al (2009) explored the impact of the 2000 presidential election outcome on equity markets' performances, and found that equities are adversely affected by the rising uncertainty over this event.…”

Test of Linkage between Governance Style and National Economic Indices

“…Empirical evidence in support of no significant impact of partisanship on inflation may hold in the case of national monetary policy of a single currency market like the European Union currency. Here the regional regulatory agency's (European central bank) objective of sustainable price stability comes to the fore (He, Lin, Wu & Dufrene, (2009). This reduces the probability of volatility as winner of the election becomes clearer (Goodell & Bodey, 2012).…”

Political uncertainty and the 2012 US presidential election: A cointegration study of prediction markets, polls and a stand-out expert

“…Their findings suggest that stock prices and market uncertainty increase before elections when neither of the candidates has a dominant lead in the presidential preference polls Nippani and Medlin (2002),Nippani and Arize (2005),. andHe et al (2009) focus on the curious case of the 2000 presidential election with delayed results. These studies demonstrate that the U.S. and international stock markets were negatively affected by the uncertainty caused by the delay in election results.…”