A new approach to the notion of political risk: concept and definition

Abstract

Since the ancient times we found the references on risk, starting from the Greek tragedies that narrate about risk as a phenomenon which is accompanied by uncertainty in decision-making process. In the Renaissance era when people dropped many inhibitions and questioned old beliefs and points of view then a serious study of problem starts. This article is about the theoretical analysis of political risk. Points of view of Russian and other foreign researches are included in this article. The article contains the definition of political risk by different representatives, of the political risk influence on investment climate, of likelihood of adverse consequences in political decisions that were made in the face of uncertainty, when recourses are scarce, (in time, information and other), which leads to prejudice for the members of political actions and leads to unwanted events. In the conclusion, the author tries to give its own definition of political risk.