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POLITICAL RISK ON THE FINANCIAL MARKET The problem of adequate scientific assessment of business operations - the naivety of economists

Author

Listed:
  • Leszek Dziawgo

    (Nicolaus Copernicus University)

Abstract

One of the significant problems of a modern economy and economics is political risk. A destructive influence of politics on the financial market cannot be ignored. It is necessary to indicate some selected specific problems of the financial market connected with politics in the area of: public finance (including EU), monetary policy and capital market. Nowadays, the scale and dynamics of political interference in the economy and finance leads to the problem of rationality in business activities. Moreover, many hidden political factors change the political risk into immeasurable political uncertainty.

Suggested Citation

  • Leszek Dziawgo, 2014. "POLITICAL RISK ON THE FINANCIAL MARKET The problem of adequate scientific assessment of business operations - the naivety of economists," "e-Finanse", University of Information Technology and Management, Institute of Financial Research and Analysis, vol. 9(4), pages 39-47, April.
    • Handle: RePEc:rze:efinan:v:9:y:2014:i:4:p:39-47
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    File URL: http://e-finanse.com/artykuly_eng/261.pdf
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    References listed on IDEAS

    as
    1. LeRoy, Stephen F & Singell, Larry D, Jr, 1987. "Knight on Risk and Uncertainty," Journal of Political Economy, University of Chicago Press, vol. 95(2), pages 394-406, April.
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    Cited by:

    1. Dziawgo Leszek & Dziawgo Danuta, 2018. "Regulations of the Financial Market in Poland. Equilibrium Vs. Inversion," Financial Sciences. Nauki o Finansach, Sciendo, vol. 23(4), pages 9-24, December.

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    Keywords

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    JEL classification:

    • D21 - Microeconomics - - Production and Organizations - - - Firm Behavior: Theory
    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • G15 - Financial Economics - - General Financial Markets - - - International Financial Markets
    • H31 - Public Economics - - Fiscal Policies and Behavior of Economic Agents - - - Household
    • O57 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Comparative Studies of Countries

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