Regression study of economic indicators and political stability

This thesis explores relationships among many different economic indicators and a change of leading party in a government. These relationships or influences maybe small and insignificant, or they can be statistically significant. Firstly, theoretical part explains how economics influence politics and vice versa. Secondly, theoretical part includes all economic indicators used in the analytical part of this thesis with some basic explanations of the indicators and some examples of a development of the said indicators. Next part of the thesis is methodology, where the collection of data is thoroughly explained, and all the analytical tools and practices are described there too. The last part, the practical part, focuses on using the tools mentioned in methodology to find a statistically significant relationship between the economic indicator and the change of presidency and resulting in a statement, which indicators influence elections the most. Apart from that, there is a code in Python which was used to create all the analysis in this paper.