Abstract
Recent events in France, Europe, and the United States have sent shockwaves through the business world. As evidenced by the significant fluctuations in the French stock index CAC40 following the results of the European elections, it is clear that politics can have immediate economic consequences, as seen in the shifts in expected returns and associated economic losses. This reflects the broader implications of politics on corporate strategies and operational conditions. Similarly, the debt markets are affected by varying risk premiums that lenders demand in response to political changes.