The Jeffords Effect

  title={The Jeffords Effect},
  author={Seema Jayachandran},
In May 2001 Senator Jim Jeffords left the Republican Party and tipped control of the U.S. Senate to the Democrats. This paper uses the surprise event to demonstrate what I term the "Jeffords effect": changes in the political landscape have large effects on the market value of firms. I use a firm’s soft money donations to the national parties as the measure… CONTINUE READING

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