Finance, institutions and economic development
Using data from 72 countries for the period 1978-2000, we find that financial development has larger effects on GDP per capita when the financial system is embedded within a sound institutional framework. Moreover, we find that financial development is most potent in middle-income countries, where i...
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| Format: | Article |
| Language: | English English |
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John Wiley & Sons, Ltd
2006
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| Subjects: | |
| Online Access: | http://psasir.upm.edu.my/id/eprint/18296/ http://psasir.upm.edu.my/id/eprint/18296/1/Finance.pdf |
| _version_ | 1848843472768860160 |
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| author | Demetriades, Panicos Law, Siong Hook |
| author_facet | Demetriades, Panicos Law, Siong Hook |
| author_sort | Demetriades, Panicos |
| building | UPM Institutional Repository |
| collection | Online Access |
| description | Using data from 72 countries for the period 1978-2000, we find that financial development has larger effects on GDP per capita when the financial system is embedded within a sound institutional framework. Moreover, we find that financial development is most potent in middle-income countries, where its effects are particularly large when institutional quality is high. Importantly, we also find that in low-income countries the influence of financial development is at its weakest; in these countries, more finance without sound institutions may not succeed in delivering long-run economic benefits. Copyright © 2006 John Wiley & Sons, Ltd. |
| first_indexed | 2025-11-15T08:15:34Z |
| format | Article |
| id | upm-18296 |
| institution | Universiti Putra Malaysia |
| institution_category | Local University |
| language | English English |
| last_indexed | 2025-11-15T08:15:34Z |
| publishDate | 2006 |
| publisher | John Wiley & Sons, Ltd |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | upm-182962015-11-12T07:45:51Z http://psasir.upm.edu.my/id/eprint/18296/ Finance, institutions and economic development Demetriades, Panicos Law, Siong Hook Using data from 72 countries for the period 1978-2000, we find that financial development has larger effects on GDP per capita when the financial system is embedded within a sound institutional framework. Moreover, we find that financial development is most potent in middle-income countries, where its effects are particularly large when institutional quality is high. Importantly, we also find that in low-income countries the influence of financial development is at its weakest; in these countries, more finance without sound institutions may not succeed in delivering long-run economic benefits. Copyright © 2006 John Wiley & Sons, Ltd. John Wiley & Sons, Ltd 2006-07 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/18296/1/Finance.pdf Demetriades, Panicos and Law, Siong Hook (2006) Finance, institutions and economic development. International Journal of Finance and Economics, 11 (3). pp. 245-260. ISSN 1076-9307 http://dx.doi.org/10.1002/ijfe.296 Economic development Finance doi:10.1002/ijfe.296 English |
| spellingShingle | Economic development Finance Demetriades, Panicos Law, Siong Hook Finance, institutions and economic development |
| title | Finance, institutions and economic development |
| title_full | Finance, institutions and economic development |
| title_fullStr | Finance, institutions and economic development |
| title_full_unstemmed | Finance, institutions and economic development |
| title_short | Finance, institutions and economic development |
| title_sort | finance, institutions and economic development |
| topic | Economic development Finance |
| url | http://psasir.upm.edu.my/id/eprint/18296/ http://psasir.upm.edu.my/id/eprint/18296/ http://psasir.upm.edu.my/id/eprint/18296/ http://psasir.upm.edu.my/id/eprint/18296/1/Finance.pdf |