1. Why Has the Stock Market Risen So Much Since the US Presidential Election?
- Author:
- Olivier Blanchard, Christopher G. Collins, Mohammad R Jahan-Parvar, and Thomas Pellet
- Publication Date:
- 03-2018
- Content Type:
- Policy Brief
- Institution:
- Peterson Institute for International Economics
- Abstract:
- Immediately following the US presidential election in November 2016, many economists were concerned that increased uncertainty over economic policy would lead to a decline in the US stock market. From the time of the election to the end of 2017, however, the stock market, as measured by the Standard and Poor's (S&P) 500 index, increased by about 25 percent. Price swings since then have led investors and economists to increasingly ask: Was the stock market rise justified by an increase in actual and expected future dividends, or did it reflect unhealthy price developments, which may reverse in the future?
- Topic:
- International Political Economy
- Political Geography:
- Global Markets