Open AccessPosted Content
A New Database on Financial Development and Structure
Reads0
Chats0
TLDR
Beck, Demirguc-Kunt, and Levine as mentioned in this paper introduced a new database of indicators of financial development and structure across countries and over time, which unifies a range of indicators that measure the size, activity, and efficiency of financial intermediaries and markets.Abstract:
This new database of indicators of financial development and structure across countries and over time unites a range of indicators that measure the size, activity, and efficiency of financial intermediaries and markets. Beck, Demirguc-Kunt, and Levine introduce a new database of indicators of financial development and structure across countries and over time. This database is unique in that it unites a variety of indicators that measure the size, activity, and efficiency of financial intermediaries and markets. It improves on previous efforts by presenting data on the public share of commercial banks, by introducing indicators of the size and activity of nonbank financial institutions, and by presenting measures of the size of bond and primary equity markets. The compiled data permit the construction of financial structure indicators to measure whether, for example, a country's banks are larger, more active, and more efficient than its stock markets. These indicators can then be used to investigate the empirical link between the legal, regulatory, and policy environment and indicators of financial structure. They can also be used to analyze the implications of financial structure for economic growth. Beck, Demirguc-Kunt, and Levine describe the sources and construction of, and the intuition behind, different indicators and present descriptive statistics. This paper - a product of Finance, Development Research Group - is part of a broader effort in the group to understand the determinants of financial structure and its importance to economic development. The authors may be contacted at tbeck@worldbank.org, ademirguckunt@worldbank.org, or rlevine@csom.umn.edu.read more
Citations
More filters
Journal ArticleDOI
National culture and life insurance consumption
Andy C.W. Chui,Chuck C.Y. Kwok +1 more
TL;DR: This article examined the way national culture affects consumption patterns of life insurance across countries and found that individualism had a significant, positive effect on life insurance consumption, whereas power distance and masculinity/femininity had significant, negative effects.
Posted Content
Political Instability: Its Effects on Financial Development, Its Roots in the Severity of Economic Inequality
Mark J. Roe,Jordan I. Siegel +1 more
TL;DR: This article showed that political instability impedes financial development, with its variation a primary determinant of differences in financial development around the world, even when controlling for factors prominent in the last decade's cross-country studies of financial development.
Journal ArticleDOI
Financial Intermediary Development and Growth Volatility : Do Intermediaries Dampen or Magnify Shocks?
TL;DR: In this paper, the authors extend the recent literature on the link between financial development and economic volatility by focusing on the channels through which the development of financial intermediaries affects economic volatility.
Posted Content
Why Does Financial Sector Growth Crowd Out Real Economic Growth
TL;DR: In this article, the authors examine the negative relationship between the rate of growth of the financial sector and the growth of total factor productivity and show that financial growth disproportionately harms financially dependent and R&D-intensive industries.
Journal ArticleDOI
The Role of Domestic Debt Markets in Economic Growth: An Empirical Investigation for Low-Income Countries and Emerging Markets
TL;DR: This article developed a new public domestic debt database covering 93 low-income countries and emerging markets over 1975-2004 to estimate the growth impact of domestic debt and found that moderate levels of noninflationary domestic debt, as a share of GDP and bank deposits, exert a positive overall impact on economic growth.
References
More filters
Journal ArticleDOI
Finance and Growth: Schumpeter Might Be Right
TL;DR: In this paper, the authors examined a cross-section of about 80 countries for the period 1960-89 and found that various measures of financial development are strongly associated with both current and later rates of economic growth.
ReportDOI
Financial Dependence and Growth
Raghuram G. Rajan,Raghuram G. Rajan,Raghuram G. Rajan,Luigi Zingales,Luigi Zingales,Luigi Zingales +5 more
TL;DR: This paper examined whether financial development facilitates economic growth by scrutinizing one rationale for such a relationship; that financial development reduces the costs of external finance to firms, and found that industrial sectors that are relatively more in need of foreign finance develop disproportionately faster in countries with more developed financial markets.
BookDOI
Financial development and economic growth : views and agenda
Ross Levine,Ross Levine +1 more
TL;DR: The authors argued that the preponderance of theoretical reasoning and empirical evidence suggests a positive first-order relationship between financial development and economic growth, and that financial development level is a good predictor of future rates of economic growth.
Posted Content
Financial Intermediation and Growth: Causality and Causes
TL;DR: In this article, the authors evaluate whether the level of development of financial intermediaries exerts a casual influence on economic growth, and they find that financial intermediary development has a large causal impact on growth.
Journal ArticleDOI
Finance, entrepreneurship and growth
TL;DR: The authors construct an endogenous growth model in which financial systems evaluate prospective entrepreneurs, mobilize savings to finance the most promising productivity-enhancing activities, diversify the risks associated with these innovative activities and reveal the expected profits from engaging in innovation rather than the production of existing goods using existing methods.