Media

Quantifying India and its foreign relations through media monitoring

Published

2 years ago

December 13, 2022

In September 2022, India became the fifth largest economy in the world by overtaking the United Kingdom, according to a recent report from the International Monetary Fund. India’s economic and political rise has both domestic and global implications and might alter the nature of the country’s foreign relations with powerful countries like the United States, China, and Russia, and vice versa. Furthermore, global events, such as the protectionist tech policies imposed by former President Trump on Chinese trade policies, the COVID-19 pandemic, the Russia-Ukraine war, and the deepening of authoritarianism in China, are forcing global realignment. Consequently, countries like India are reassessing their foreign relations with existing major powers and signaling interests and preferences vis-à-vis new emerging powers.

In this essay, we quantify India’s foreign relations based on news that involves the country and the top economies in the world: Australia, China, France, Germany, Great Britain, Japan, the United States, and Russia. We exploit the Global Database of Society, which is a part of the Global Data on Events, Location, and Tone (GDELT) Project that monitors news (broadcast, print, and digital) across the globe in more than 65 languages. Within 15 minutes of a news event breaking worldwide, the GDELT Project translates the event if it is in a language other than English and processes the news to identify the event, location, people, and organizations involved and the nature and theme of the event based on more than 24 emotional measurement packages (the largest deployment of sentiment analysis) to assess more than 2,300 emotions and themes to “contextualize, interpret, respond to, and understand global events” in near real-time.

The GDELT database lends itself to fascinating quantitative analysis of the changing nature of international relations as reflected in the news and media coverage. In our analysis, we find significant changes in India’s bilateral relations with major economies like France, China, Russia, and the United States in recent years. We also find structural breaks and major realignment in the relations of global powers vis-à-vis China since 2018.

Research methods

We limit our analysis to the GDELT event database that records events (such as appeals for rights, ease of restrictions on political freedoms, protest, etc.), the date of the event, and the actors involved (which could be geographic, ethnic, religious, etc.), the country of the actors, the number of mentions of the event (the higher the mentions, the more important the event), and the average media tone associated with the event, which is a numeric value that can range from -100 (extremely negative tone) to +100 (extremely positive tone), with typical values between -10 and +10 and with zero indicating a neutral event. Our analyses focus on events from June 15, 2015, to September 24, 2022. Overall, we analyze more than 99 million events, where the major actors were from three large countries: India, China, and the United States. We also estimate an average daily tone for each of the three countries by constructing a weighted mean of the average tone of all the events recorded on that date, with the number of mentions as a weight for each event. Our primary objective is to identify the pattern of the daily weighted average tone of the events related to India, China, and the United States from 2015 to 2022. To achieve this, we fit a Bayesian regression with a cubic spline and seven knots and plot the posterior mean with 95% intervals of the weighted average daily tone.

Media Tone: China vs. USA vs. India

Overall, we find that events related to China, an authoritarian country with severe restrictions on free media, have a relatively more positive tone than the tone of events in democracies such as India and the United States. However, since 2018, the tone of events related to China has begun a sharp downward trend. This change toward China was also observed in a 2021 Pew survey on Americans’ views toward China. It is also interesting to note a more positive trend in tone for India-related events since 2020, which remains steady and does not exhibit any sharp pattern.

(i) India’s relations with the United States, China, and Russia

In our analysis of events related to India, China, the United States, and Russia, we focus on events where the prominent actor is India. Until late 2021, events related to India and Russia had a relatively more positive tone than those associated with India and the United States. and India and China. However, since late 2021, there has been a sharp reversal in the tone of events related to India and Russia. This is most likely a direct outcome of the Russian-Ukrainian war.

We also find that the tone of events related to India and China had a sharp reversal during the Doklam crisis in 2017 when there was a military border standoff between the Indian Armed Forces and the People’s Liberation Army of China. This was in response to the Chinese constructing a road at the trijunction area of India-Bhutan-China. The border standoff lasted more than two months and ended only when the Chinese halted the road construction and troops from both sides withdrew from Doklam. There was a short recovery in late 2018, however, from early 2019 onwards, there has been a sharp reversal in tone which worsened at the start of the COVID-19 pandemic in early 2020. Thereafter, India-China relations have continued to remain steady but at a historic low.

Concerning events related to India and the United States, we observe that their tone was steady and continuous until the middle of 2018, after which it started to fall. This downward trend continued until 2020 (the year of U.S. elections and the start of the pandemic), after which we observe a steady rise in the tone of events related to India and the United States.

(ii) Global realignment: China v. India

In our analysis, we also reviewed events that relate India and China to the world’s top economies: Australia, China, France, Germany, Great Britain, Japan, the United States, and Russia. We include Pakistan (PAK) and Israel (ISR) for this analysis, as both countries are important actors in India’s foreign policy.

Over the entire period, the average tone of events that relate India to the major economies has remained somewhat similar, except for France and Israel, where there is a significant upward swing in the average tone after 2021. Not surprisingly, this reflects the dramatic improvements in India’s ties with Israel and France in recent years.

In contrast, since 2018, the average tone of events that relate China to the major economies has experienced a downward trend. In particular, the India-China gap in the average tone with Australia, Germany (DEU), France, and the United States widened after 2018. However, since 2020, the downward trend in the average tone of events has either reversed or remained constant. The most striking result of this analysis concerns Russia’s relations with India and China. We observe a sharp downward trend in the tone of events concerning Russia’s relations with both China and India between 2021 and 2022, which is most likely the outcome of the Russia-Ukraine war.

Broadly, the average tone of events that relate India to the major economies is higher compared to events that relate China to the major economies (in particular, Australia, Germany, France, and the United States); this gap has widened since 2018-2019. Results for Pakistan are along expected lines, as the tone of events covering its relations with China and India remain steady and unaffected by global events over time. Pakistan’s relations with China are significantly better than its relations with India, which have a systematic and significant negative tone.

Conclusion

The findings of our research suggest that events related to China (which has heavy-handed, authoritarian restrictions on all forms of media) have a relatively more positive tone than large federal democracies when it comes to media, such as India and the United States, which have a relatively free press. However, since 2018-2019, there has been a sharp downward trend in tone of events related to China, perhaps reflecting the changing view of China in the western world, particularly within the United States, and the former president’s political attack on China concerning its trade policy. However, in the last two years, we have observed a reversal in this trend, which could reflect an easing of the tension post-pandemic and change in the U.S. government.

When analyzing events that relate India and China to the top economies and Russia, we find a widening gap in the average tone of events. However, when it comes to Russia post-2021, there has been a sharp decline in the average tone of events for both China and India, perhaps an outcome of the Russia-Ukraine conflict. Based on the average tone of events, the findings suggest a consistent realignment of the world’s top economies in their foreign relations concerning India and China, especially after 2018.

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Media

Trump could cash out his DJT stock within weeks. Here’s what happens if he sells

Published

3 weeks ago

August 23, 2024

Harry Miller

Former President Donald Trump is on the brink of a significant financial decision that could have far-reaching implications for both his personal wealth and the future of his fledgling social media company, Trump Media & Technology Group (TMTG). As the lockup period on his shares in TMTG, which owns Truth Social, nears its end, Trump could soon be free to sell his substantial stake in the company. However, the potential payday, which makes up a large portion of his net worth, comes with considerable risks for Trump and his supporters.

Trump’s stake in TMTG comprises nearly 59% of the company, amounting to 114,750,000 shares. As of now, this holding is valued at approximately $2.6 billion. These shares are currently under a lockup agreement, a common feature of initial public offerings (IPOs), designed to prevent company insiders from immediately selling their shares and potentially destabilizing the stock. The lockup, which began after TMTG’s merger with a special purpose acquisition company (SPAC), is set to expire on September 25, though it could end earlier if certain conditions are met.

Should Trump decide to sell his shares after the lockup expires, the market could respond in unpredictable ways. The sale of a substantial number of shares by a major stakeholder like Trump could flood the market, potentially driving down the stock price. Daniel Bradley, a finance professor at the University of South Florida, suggests that the market might react negatively to such a large sale, particularly if there aren’t enough buyers to absorb the supply. This could lead to a sharp decline in the stock’s value, impacting both Trump’s personal wealth and the company’s market standing.

Moreover, Trump’s involvement in Truth Social has been a key driver of investor interest. The platform, marketed as a free speech alternative to mainstream social media, has attracted a loyal user base largely due to Trump’s presence. If Trump were to sell his stake, it might signal a lack of confidence in the company, potentially shaking investor confidence and further depressing the stock price.

Trump’s decision is also influenced by his ongoing legal battles, which have already cost him over $100 million in legal fees. Selling his shares could provide a significant financial boost, helping him cover these mounting expenses. However, this move could also have political ramifications, especially as he continues his bid for the Republican nomination in the 2024 presidential race.

Trump Media’s success is closely tied to Trump’s political fortunes. The company’s stock has shown volatility in response to developments in the presidential race, with Trump’s chances of winning having a direct impact on the stock’s value. If Trump sells his stake, it could be interpreted as a lack of confidence in his own political future, potentially undermining both his campaign and the company’s prospects.

Truth Social, the flagship product of TMTG, has faced challenges in generating traffic and advertising revenue, especially compared to established social media giants like X (formerly Twitter) and Facebook. Despite this, the company’s valuation has remained high, fueled by investor speculation on Trump’s political future. If Trump remains in the race and manages to secure the presidency, the value of his shares could increase. Conversely, any missteps on the campaign trail could have the opposite effect, further destabilizing the stock.

As the lockup period comes to an end, Trump faces a critical decision that could shape the future of both his personal finances and Truth Social. Whether he chooses to hold onto his shares or cash out, the outcome will likely have significant consequences for the company, its investors, and Trump’s political aspirations.

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Arizona man accused of social media threats to Trump is arrested

Published

3 weeks ago

August 23, 2024

Harry Miller

Cochise County, AZ — Law enforcement officials in Arizona have apprehended Ronald Lee Syvrud, a 66-year-old resident of Cochise County, after a manhunt was launched following alleged death threats he made against former President Donald Trump. The threats reportedly surfaced in social media posts over the past two weeks, as Trump visited the US-Mexico border in Cochise County on Thursday.

Syvrud, who hails from Benson, Arizona, located about 50 miles southeast of Tucson, was captured by the Cochise County Sheriff’s Office on Thursday afternoon. The Sheriff’s Office confirmed his arrest, stating, “This subject has been taken into custody without incident.”

In addition to the alleged threats against Trump, Syvrud is wanted for multiple offences, including failure to register as a sex offender. He also faces several warrants in both Wisconsin and Arizona, including charges for driving under the influence and a felony hit-and-run.

The timing of the arrest coincided with Trump’s visit to Cochise County, where he toured the US-Mexico border. During his visit, Trump addressed the ongoing border issues and criticized his political rival, Democratic presidential nominee Kamala Harris, for what he described as lax immigration policies. When asked by reporters about the ongoing manhunt for Syvrud, Trump responded, “No, I have not heard that, but I am not that surprised and the reason is because I want to do things that are very bad for the bad guys.”

This incident marks the latest in a series of threats against political figures during the current election cycle. Just earlier this month, a 66-year-old Virginia man was arrested on suspicion of making death threats against Vice President Kamala Harris and other public officials.

Media

Trump Media & Technology Group Faces Declining Stock Amid Financial Struggles and Increased Competition

Published

3 weeks ago

August 20, 2024

Harry Miller

Trump Media & Technology Group’s stock has taken a significant hit, dropping more than 11% this week following a disappointing earnings report and the return of former U.S. President Donald Trump to the rival social media platform X, formerly known as Twitter. This decline is part of a broader downward trend for the parent company of Truth Social, with the stock plummeting nearly 43% since mid-July. Despite the sharp decline, some investors remain unfazed, expressing continued optimism for the company’s financial future or standing by their investment as a show of political support for Trump.

One such investor, Todd Schlanger, an interior designer from West Palm Beach, explained his commitment to the stock, stating, “I’m a Republican, so I supported him. When I found out about the stock, I got involved because I support the company and believe in free speech.” Schlanger, who owns around 1,000 shares, is a regular user of Truth Social and is excited about the company’s future, particularly its plans to expand its streaming services. He believes Truth Social has the potential to be as strong as Facebook or X, despite the stock’s recent struggles.

However, Truth Social’s stock performance is deeply tied to Trump’s political influence and the company’s ability to generate sustainable revenue, which has proven challenging. An earnings report released last Friday showed the company lost over $16 million in the three-month period ending in June. Revenue dropped by 30%, down to approximately $836,000 compared to $1.2 million during the same period last year.

In response to the earnings report, Truth Social CEO Devin Nunes emphasized the company’s strong cash position, highlighting $344 million in cash reserves and no debt. He also reiterated the company’s commitment to free speech, stating, “From the beginning, it was our intention to make Truth Social an impenetrable beachhead of free speech, and by taking extraordinary steps to minimize our reliance on Big Tech, that is exactly what we are doing.”

Despite these assurances, investors reacted negatively to the quarterly report, leading to a steep drop in stock price. The situation was further complicated by Trump’s return to X, where he posted for the first time in a year. Trump’s exclusivity agreement with Trump Media & Technology Group mandates that he posts personal content first on Truth Social. However, he is allowed to make politically related posts on other social media platforms, which he did earlier this week, potentially drawing users away from Truth Social.

For investors like Teri Lynn Roberson, who purchased shares near the company’s peak after it went public in March, the decline in stock value has been disheartening. However, Roberson remains unbothered by the poor performance, saying her investment was more about supporting Trump than making money. “I’m way at a loss, but I am OK with that. I am just watching it for fun,” Roberson said, adding that she sees Trump’s return to X as a positive move that could expand his reach beyond Truth Social’s “echo chamber.”

The stock’s performance holds significant financial implications for Trump himself, as he owns a 65% stake in Trump Media & Technology Group. According to Fortune, this stake represents a substantial portion of his net worth, which could be vulnerable if the company continues to struggle financially.

Analysts have described Truth Social as a “meme stock,” similar to companies like GameStop and AMC that saw their stock prices driven by ideological investments rather than business fundamentals. Tyler Richey, an analyst at Sevens Report Research, noted that the stock has ebbed and flowed based on sentiment toward Trump. He pointed out that the recent decline coincided with the rise of U.S. Vice President Kamala Harris as the Democratic presidential nominee, which may have dampened perceptions of Trump’s 2024 election prospects.

Jay Ritter, a finance professor at the University of Florida, offered a grim long-term outlook for Truth Social, suggesting that the stock would likely remain volatile, but with an overall downward trend. “What’s lacking for the true believer in the company story is, ‘OK, where is the business strategy that will be generating revenue?'” Ritter said, highlighting the company’s struggle to produce a sustainable business model.

Still, for some investors, like Michael Rogers, a masonry company owner in North Carolina, their support for Trump Media & Technology Group is unwavering. Rogers, who owns over 10,000 shares, said he invested in the company both as a show of support for Trump and because of his belief in the company’s financial future. Despite concerns about the company’s revenue challenges, Rogers expressed confidence in the business, stating, “I’m in it for the long haul.”

Not all investors are as confident. Mitchell Standley, who made a significant return on his investment earlier this year by capitalizing on the hype surrounding Trump Media’s planned merger with Digital World Acquisition Corporation, has since moved on. “It was basically just a pump and dump,” Standley told ABC News. “I knew that once they merged, all of his supporters were going to dump a bunch of money into it and buy it up.” Now, Standley is staying away from the company, citing the lack of business fundamentals as the reason for his exit.

Truth Social’s future remains uncertain as it continues to struggle with financial losses and faces stiff competition from established social media platforms. While its user base and investor sentiment are bolstered by Trump’s political following, the company’s long-term viability will depend on its ability to create a sustainable revenue stream and maintain relevance in a crowded digital landscape.

As the company seeks to stabilize, the question remains whether its appeal to Trump’s supporters can translate into financial success or whether it will remain a volatile stock driven more by ideology than business fundamentals.