Finance and Growth : Theory and Evidence / Ross Levine.

Format:

Book

Author/Creator:

Levine, Ross, author.

Series:

Working Paper Series (National Bureau of Economic Research) ; no. w10766.

NBER working paper series ; no. w10766

Language:

English

Subjects (All):

Financial institutions.

Economic development.

Physical Description:

1 online resource (116 pages) : illustrations (black and white).

Place of Publication:

Cambridge, Massachusetts : National Bureau of Economic Research, 2004.

Summary:

This paper reviews, appraises, and critiques theoretical and empirical research on the connections between the operation of the financial system and economic growth. While subject to ample qualifications and countervailing views, the preponderance of evidence suggests that both financial intermediaries and markets matter for growth and that reverse causality alone is not driving this relationship. Furthermore, theory and evidence imply that better developed financial systems ease external financing constraints facing firms, which illuminates one mechanism through which financial development influences economic growth. The paper highlights many areas needing additional research.

Notes:

Description based on publisher supplied metadata and other sources.