Kunieda, Takuma (2008): Financial Development and Volatility of Growth Rates: New Evidence.
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This paper examines the effect of financial development on growth volatility with the dynamic panel data analysis. It demonstrates empirically that financial development has a hump-shaped effect on growth volatility. In early stages of financial development, growth rates are less volatile. As the financial sector develops, an economy is highly volatile. However, as the financial sector matures and the financial market approaches a perfect one, the economy becomes less volatile once again.
|Item Type:||MPRA Paper|
|Original Title:||Financial Development and Volatility of Growth Rates: New Evidence|
|Keywords:||Growth Volatility; Financial Development; Dynamic Panel Models|
|Subjects:||E - Macroeconomics and Monetary Economics > E5 - Monetary Policy, Central Banking, and the Supply of Money and Credit > E51 - Money Supply; Credit; Money Multipliers
O - Economic Development, Technological Change, and Growth > O1 - Economic Development > O16 - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
E - Macroeconomics and Monetary Economics > E4 - Money and Interest Rates > E44 - Financial Markets and the Macroeconomy
|Depositing User:||Takuma Kunieda|
|Date Deposited:||03. Nov 2008 10:55|
|Last Modified:||16. Feb 2013 06:43|
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