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Research Proves Stock Market Does Better Under Democratic Administrations

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arwalden Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-21-03 01:59 PM
Original message
Research Proves Stock Market Does Better Under Democratic Administrations
I hope this isn't a dupe. Just found it myself.
-- Allen


http://srv2.polls.scd.yahoo.com/public/archives/57019568/p-quote-273

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A 2003 paper looked seriously at the 18 presidential administrations from 1927-1998 and showed that in fact Democratic administrations are associated with better stock market performance.1

The authors did not just tally up stock market returns by administration period--by that analysis, Democratic administrations are associated with about a 5% performance advantage for the stock market. But that could be the effect of more favorable economic conditions (inherited or otherwise) during Democratic administrations.

So the authors analyzed this phenomenon by controlling for business cycle factors like interest rates and dividend yields, as well as for factors like risk (stock market volatility, it seems, is about the same under both types of administrations). Looked at this way, the performance advantage looks a bit bigger: other macroeconomic factors being equal, the stock market tended to perform 10-20% better under Democratic administrations than Republican ones
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ellie Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-21-03 02:04 PM
Response to Original message
1. I heard this on CNN
last night. In your face repukes! Democrats are good for your pocketbook! Hopefully this will put to rest the myth that Democrats are bad for the economy.

Shout it from the rooftops: Republics™ are bad for the country!
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Gman Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-21-03 02:08 PM
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2. I'm not at all surprised. People work and have $$ when Dems are in office
Of course the pukes' standard response is always that the Dems benfited from the past GOP administration's policies.
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Military Brat Donating Member (999 posts) Send PM | Profile | Ignore Fri Nov-21-03 02:16 PM
Response to Original message
3. The New York Times covers this also.
We knew it all along. But of course, the Repubs will blast this.
http://www.nytimes.com/2003/11/20/business/20scene.html
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SahaleArm Donating Member (1000+ posts) Send PM | Profile | Ignore Fri Nov-21-03 02:26 PM
Response to Original message
4. Surprise, Surprise - Democrats don't create uncertainty.
They also don't present fake evidence to go to war; Or create a governement for the defense contractors, of the defense contractors, and by the defense contractors.
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