Financial Development and Economic Growth: Evidence from Ten New EU Members
28 Pages Posted: 6 Sep 2014
There are 2 versions of this paper
Financial Development and Economic Growth: Evidence from Ten New EU Members
Abstract
This paper reviews the main features of the banking and financial sector in ten new EU members, and then examines the relationship between financial development and economic growth in these countries by estimating a dynamic panel model over the period 1994-2007. The evidence suggests that the stock and credit markets are still underdeveloped in these economies, and that their contribution to economic growth is limited owing to a lack of financial depth. By contrast, a more efficient banking sector is found to have accelerated growth.
Keywords: financial development, economic growth, transition economies
JEL Classification: E44, E58, F36, P26
Suggested Citation: Suggested Citation
Do you have negative results from your research you’d like to share?
Recommended Papers
-
One Money, One Market: Estimating the Effect of Common Currencies on Trade
-
Determinants of Bilateral Trade: Does Gravity Work in a Neoclassical World?
-
Does a Currency Union Affect Trade? The Time Series Evidence
By Reuven Glick and Andrew Kenan Rose
-
Does a Currency Union Affect Trade? The Time Series Evidence
By Reuven Glick and Andrew Kenan Rose
-
On Theories Explaining the Success of the Gravity Equation
By Simon J. Evenett and Wolfgang Keller
-
Estimating Trade Flows: Trading Partners and Trading Volumes
By Elhanan Helpman, Marc J. Melitz, ...
-
An Estimate of the Effect of Common Currencies on Trade and Income