Institutions, Competition, and Capital Market Integration in Japan / Kris J. Mitchener, Mari Ohnuki.

Format:

Book

Author/Creator:

Mitchener, Kris J.

Contributor:

National Bureau of Economic Research.

Ohnuki, Mari.

Series:

Working Paper Series (National Bureau of Economic Research) no. w14090.

NBER working paper series no. w14090

Language:

English

Physical Description:

1 online resource: illustrations (black and white);

Place of Publication:

Cambridge, Mass. National Bureau of Economic Research 2008.

Summary:

Using a newly-constructed panel data set which includes annual estimates of lending rates for 47 Japanese prefectures, we analyze why interest rates converged over the period 1884-1925. We find evidence that technological innovations and institutional changes played an important role in creating a national capital market in Japan. In particular, the diffusion in the use of the telegraph, the growth in commercial branch banking networks, and the development of Bank of Japan's branches reduced interest-rate differentials. Bank regulation appears to have played little role in impeding financial market integration.

Notes:

Print version record

June 2008.