Working paper icon

Working paper

Divided government and stock returns

Abstract:

We document that unified US governments are associated with higher annual excess and real stock return than divided US governments. For the value-weighted portfolio the difference is 9.95% and for the equal-weighted 18.37%. These results are statistically and economically significant and robust in subsamples. Interestingly, corresponding differences in volatility fail to give a justification for the difference in returns compensation for risk as they go in the opposite direction. Similar resu...

Expand abstract
Publication status:
Published

Actions


Access Document


Files:

Authors


More by this author
Institution:
University of Oxford
Division:
SSD
Department:
Saïd Business School
Oxford college:
Oriel College
Role:
Author
More by this author
Institution:
University of Oxford
Division:
SSD
Department:
Saïd Business School
Role:
Author
Publication date:
2021-02-08
Language:
English
Keywords:
Pubs id:
1162126
Local pid:
pubs:1162126
Deposit date:
2021-02-18

Terms of use


Views and Downloads






If you are the owner of this record, you can report an update to it here: Report update to this record

TO TOP