<abstract xmlns="http://www.w3.org/1999/xhtml">

<p>Even though “all politics” are supposedly “local”, as reportedly said Tip O’Neil, the majority of studies on the link between politics and finance focused on presidential elections. This argues that overlooking local elections could result in a gap in the literature, thus it focused on the effect of the 2021 local elections on the stock market in the Republic of North Macedonia. The results could not reject the null hypothesis that local elections did not have any statistically significant effect on the stock prices as only 10% of the stocks traded experienced significant abnormal returns during the election period.</p>
</abstract>

Even though “all politics” are supposedly “local”, as reportedly said Tip O’Neil, the majority of studies on the link between politics and finance focused on presidential elections. This argues that overlooking local elections could result in a gap in the literature, thus it focused on the effect of the 2021 local elections on the stock market in the Republic of North Macedonia. The results could not reject the null hypothesis that local elections did not have any statistically significant effect on the stock prices as only 10% of the stocks traded experienced significant abnormal returns during the election period.

Do Local Political Elections Affect Daily Stock Returns? Evidence from the Republic of North Macedonia's MBI10 Index

Studia Universitatis „Vasile Goldis” Arad – Economics Series

This work is licensed under the Creative Commons Attribution 4.0 International License.

Even though “all politics” are supposedly “local”, as reportedly said Tip O’Neil, the majority of studies on the link between politics and finance focused on...

Do Local Political Elections Affect Daily Stock Returns? Evidence from the Republic of North Macedonia's MBI10 Index

Published Online: Jan 26, 2024

Page range: 98 - 116

Received: Mar 01, 2023

Accepted: Jun 01, 2023

DOI: https://doi.org/10.2478/sues-2024-0005

Keywords
political elections, stocks returns, MBI10 Index

© 2024 Fitim Deari et al., published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Do Local Political Elections Affect Daily Stock Returns? Evidence from the Republic of North Macedonia's MBI10 Index

Published Online: Jan 26, 2024

Page range: 98 - 116

Received: Mar 01, 2023

Accepted: Jun 01, 2023

DOI: https://doi.org/10.2478/sues-2024-0005

Keywordspolitical elections, stocks returns, MBI10 Index

© 2024 Fitim Deari et al., published by Sciendo

This work is licensed under the Creative Commons Attribution 4.0 International License.

Keywords
political elections, stocks returns, MBI10 Index