Political bickering and policy uncertainty take a toll on business investment, research shows

By Charles Sims, Professor of Economics, University of Tennessee

Partisan squabbling isn’t just annoying – it’s also bad for business.

That’s what my colleagues and I found in a recent study on how uncertainty in environmental policy affects business investment.

First, we analyzed more than 300 million newspaper articles, looking for keywords related to environmental policy uncertainty. We found that this uncertainty spikes around election seasons and has nearly doubled over the past decade.

Then we looked at business…

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