Funke, Manuel; Schularick, Moritz; Trebesch, Christoph - 2015
. Recent events in Europe provide ample evidence that the political aftershocks of financial crises can be severe. In this … paper we study the political fall-out from systemic financial crises over the past 140 years. We construct a new long … strongly after financial crises as government majorities shrink and polarization rises. After a crisis, voters seem to be …