YOU’RE likely to feel more confident about the economy when your political party is in power. That’s no surprise. But a new study has found that your feelings probably affect the way you invest your stock portfolio.
The study, which has been circulating in academic circles since December, found that when an investor’s favored political party held power in Washington, he or she generally increased holdings of risky stocks, shifted from foreign to domestic companies and traded less often. The opposite occurred when the preferred party was out of office. And the patterns held whether an investor was a Republican or a Democrat.
I guess the Democrats are confident right now that they’re going to smash the Capitalist system and institution a fairer system where rewards are based on Party Membership.
The Republicans are withholding their investments because they’re afraid that the Democrats and liberals might succeed. The Democrats are withholding their investments because they don’t want to support private enterprise.
Bottom line…little or no investment and no recovery.
As long as the economy is bad the Democrats think they can win by making things “fairer”; which means taking from those who have and doling it out to Democrat voting groups; unions; ‘non-profits’; and the ‘poor’.