Politics and Economics - Part II

As a continuation from the last post...
After the media announced that Sharon suffered a severe stroke, the stock market lost more than 5% in one day, and a lot of people feared that the market might lose more points.

Sharon ran a capitalistic government (which investors like) and was attempting to begin the process of ending the conflict with the Palestinians (which investors liked even more), and the uncertainty of the new situation caused a panic amongst them.
Ehud Olmert, along with leaders from the entire political spectrum, made sure that the stability of the government remains.

Olmert, acting prime minister and new Kadima leader is pro-capitalism and investors (mainly foreign) felt reasured while seeing him as Sharon's heir. After the 5% loss, the market bounced back during the last week is almost back at the starting point. This was reassurance that political system under Ehud Olmert's leadership is strong.

Both the Kadima leader and the Likud leader, Benjamin Netanyahu, are capitalists and they might form a coalition in the next government. Therefore, as it seems now, the next government's economics views will be capitalistic ones.
But it is too early to tell - elections are 10 weeks away.