A Model of the Determinants of Political Risk

Abstract

This study offers a political risk prediction model that replicates a known political risk index on the basis of economic and political variables. The results show that the political risk is affected by the level of the United Nations human development index, the gross domestic savings as a percentage of gross domestic product, the labor force as a percentage of total population, the total expenditures on health and education as a percentage of gross domestic product and the level of the terms of trade.

Citation

Alvertos, D.K. (2002), "A Model of the Determinants of Political Risk", Review of Accounting and Finance, Vol. 1 No. 2, pp. 45-56. https://doi.org/10.1108/eb026984