DOES the stock market do better when a Republican is president or when a Democrat is?
The answer is: It's not even close. The stock market does far better under Democrats.
This perhaps surprising finding is examined by two finance professors at the University of California at Los Angeles, Pedro
Santa-Clara and Rossen Valkanov, in an article titled "Political Cycles and the Stock Market," published in the October issue
of The Journal of Finance. ...
Most Democratic administrations clearly had higher-than-average excess returns, with Franklin D. Roosevelt's second term
(1937-41) being the only significant exception. Republicans have been associated with significantly lower-than-average returns,
with the only exception being Dwight D. Eisenhower's first term (1953-57). ...
Hal R. Varian is a professor of business, economics and information management at the University of California