The Presidential Election and the Stock Market in Taiwan
Investors adjust their investment behaviors according to various political events. Presidential election is considered the most powerful political event. This study examines three Taiwanese presidential elections after the year 2000 in order to investigate the existence of short-term (bull-run election) and long-term (election cycle) effects as well as the myth regarding the market favoring a particular party (The Kuomintang). The findings indicate that there is an election cycle in the Taiwanese presidential election, but there is no proof for a bull-run election and no evidence for the market’s preference.
Abstract This paper presents a model of investment in six African economies over the 1970s and 80s, paying particular attention to the impact of the policy reforms which have accompanied structural adjustment programmes. A priori, the impact of trade reform on investment can be positive or negative; in practise, there is some evidence that it might be negative.