Financial development and economic growth: The role of stock markets

Journal of Money, Credit and Banking

Volumn 33, Issue 1, 2001, Pages 16-41

  Arestis, Philip ^a   Demetriades, Panicos O ^b   Luintel, Kul B ^b  

^a LONDON SOUTH BANK UNIVERSITY   (United Kingdom)

^b NONE

Author keywords

[No Author keywords available]

Indexed keywords

EID: 0035586891     PISSN: 00222879     EISSN: None     Source Type: Journal    
DOI: 10.2307/2673870     Document Type: Article

References (72)

1. Aizenman, Joshua, and Nancy P. Marion. "Volatility and the Investment Response." National Bureau of Economic Research, Working paper 5841, November 1996.
2. Akaike, Hirotuku. "Information Theory and an Extension of the Maximum Likelihood Principle." In Second International Symposium on Information Theory, edited by B. Petrov and F. Csaki, pp. 267-81. Budapest: Akademiai Kiado, 1973.
3. Akyuz, Yilmaz. "Financial Liberalization: The Key Issues." In Finance and the Real Economy, edited by Yilmaz Akyuz and Gunther Held. Santiago: United Nations University, 1993.
4. Arestis, Philip, and Panicos O. Demetriades. "Finance and Growth: Institutional Considerations and Causality." Paper presented at the Royal Economic Society Annual Conference, University of Wales Swansea, 1-4 April, 1996.
5. _ . "Financial Development and Economic Growth: Assessing the Evidence." Economic Journal 107 (May 1997), 783-99.
6. Atje, Raymond, and Boyan Jovanovic. "Stocks Markets and Development." European Economic Review 37 (April 1993), 632-40.
7. Baillie, Richard T., and Tim Bollerslev. "Cointegration, Fractional Cointegration, and Exchange Rate Dynamics." Journal of Finance 49 (June 1994), 737-45.
8. Bencivenga, Valerie R., Bruce D. Smith, and Ross M. Starr. "Equity Markets, Transactions Costs, and Capital Accumulation: An Illustration." World Bank Economic Review 10 (May 1996), 241-65.
9. Bertero, Elisabetta. "The Banking System, Financial Markets, and Capital Structure: Some New Evidence from France." Oxford Review of Economic Policy 10 (Winter 1994), 68-78.
10. Boyd, John H., and Bruce D. Smith. "The Coevolution of the Real and Financial Sectors in the Growth Process." World Bank Economic Review 10 (May 1996), 371-96.
11. Caselli, F., G. Esquivel, and F. Lefort. "Reopening the Convergence Debate: A New Look at Cross-Country Growth Empirics." Journal of Economic Growth 1 (1996), 363-90.
12. Cheung, Yin-Wong, and Kon-S. Lai. "Finite Sample Sizes of Johansen's Likelihood Ratio Tests for Cointegration." Oxford Bulletin of Economics and Statistics 55 (August 1993), 313-28.
13. Corbett, Jenny, and Tim Jenkinson. "The Financing of Industry, 1970-1989: An International Comparison." Discussion Paper no. 948, London: Centre for Economic Policy Research, 1994.
14. Crowder, William J., and Dennis L. Hoffman. "The Long-Run Relationship between Nominal Interest and Inflation: The Fisher Equation Revisited." Journal of Money, Credit, and Banking 28 (February 1996), 103-18.
15. Davis, E. Philip. Pension Funds, Retirement-Income Security, and Capital Markets: An International Perspective. Oxford: Clarendon Press, 1995.
16. DeLong, J. Bradford, Andrei Schleifer, Lawrence H. Summers, and Robert J. Waldmann. "The Size and Incidence of the Losses from Noise Trading." Journal of Finance 44 (September 1989), 681-96.
17. Demetriades, Panicos O., and Khaled Hussein. "Does Financial Development Cause Economic Growth?" Journal of Development Economics 51 (December 1996), 387-411.
18. Demetriades, Panicos O., and Kul B. Luintel. "Financial Development, Economic Growth and Banking Sector Controls: Evidence from India." Economic Journal 106 (March 1996), 359-74.
19. Demirgüç-Kunt, Aslie, and Ross Levine. "Stock Markets, Corporate Finance, and Economic Growth: An Overview." World Bank Economic Review 10 (May 1996), 223-39.
20. Demirgüç-Kunt, Aslie, and Vojislav Maksimovic. "Stock Market Development and Financing Choices of Firms." World Bank Economic Review 10 (May 1996), 341-69.
21. Diamond, Douglas W. "Financial Intermediation and Delegated Monitoring." Review of Economic Studies 51 (July 1984), 393-414.
22. Diamond, Douglas W., and R. E. Verrecchia. "Optimal Managerial Contracts and Equilibrium Security Prices." Journal of Finance 37 (May 1982), 275-87.
23. Diebold, Francis X., Javier Gardeazabal, and Kamil Yilmaz. "Cointegration and Exchange Rate Dynamics." Journal of Finance 49 (June 1994), 727-35.
24. Edwards, Jeremy, and Klaus Fischer. Banks, Finance, and Investment in Germany, Cambridge: Cambridge University Press, 1994.
25. Evans, Paul. "How to Estimate Growth Equations Consistently." Mimeo, Ohio State University; presented at the 7th World Congress of the Econometric Society, Tokyo, 1995.
26. _ . "Government Consumption and Growth." Economic Inquiry 35 (April 1997), 209-17.
27. Federer, J. Peter. "The Impact of Uncertainty on Aggregate Investment Spending." Journal of Money, Credit, and Banking 25 (February 1993), 30-45.
28. Fry, Maxwell J. "In Defence of Financial Liberalisation." Economic Journal 107 (May 1997), 754-70.
29. Gonzalo, Jesus. "Five Alternative Methods of Estimating Long-Run Equilibrium Relationships." Journal of Econometrics 60 (January-February 1994), 203-33.
30. Greenwood, Jeremy, and Boyan Jovanovic. "Financial Development, Growth, and the Distribution of Income." Journal of Political Economy 98 (October 1990), 1076-1107.
31. Greenwood, Jeremy, and Bruce Smith. "Financial Markets in Development and the Development of Financial Markets." Journal of Economic Dynamics and Control 21 (January 1997), 145-82.
32. Hall, Stephen G. "Maximum Likelihood Estimation of Cointegrating Vectors: An Example of Johansen's Procedure." Oxford Bulletin of Economics and Statistics 51 (March 1989), 213-18.
33. Hall, Stephen G., and Alistair Milne. "The Relevance of P-Star Analysis to UK Monetary Policy." Economic Journal 104 (May 1994), 597-604.
34. Hall, Stephen, and Mike Wickens. "Causality in Integrated Systems." London Business School Discussion Papers 27-93 (November 1993).
35. Hansen, Henrik, and Soren Johansen. "Recursive Estimation in Cointegrated VAR Models." Preprint 1, Institute of Mathematical Statistics, University of Copenhagen, 1993.
36. _ . "Some Tests of Parameter Constancy in Cointegrated VAR Models." Institute of Mathematical Statistics, University of Copenhagen, 1998.
37. Hansen, Henrik, and Katarina Juselius. Manual of Cointegration Analysis of Time Series CATS in RATS. Institute of Economics: University of Copenhagen, 1994.
38. Hargreaves, Colin. "A Review of Methods of Estimating Cointegrating Relationships." In Nonstationary Time Series Analysis and Cointegration, edited by Colin Hargreaves, pp. 87-131. New York: Oxford University Press, 1994.
39. Harris, Richard D.F. "Stock Markets and Development: A Reassessment." European Economic Review 41 (1997), 139-46.
40. Haug, Alfred A. "Tests for Cointegration: A Montecarlo Comparision." Journal of Econometrics 71 (March 1996), 89-115.
41. Horiuchi, Akiyoshi, and Ryoko Okazaki. "Capital Markets and the Banking Sector: Efficiency of Japanese Banks in Reducing Agency Costs." In Japan, Europe and International Financial Markets: Analytical and Empirical Perspectives, edited by Ryuzo Sato, Richard M. Levich, and Rama V. Ramachandran, pp. 197-219. Cambridge: Cambridge University Press, 1994.
42. Jensen, Michael C., and Kevin J. Murphy. "Performance Pay and Top Management Incentives." Journal of Political Economy 98 (April 1990), 225-64.
43. Johansen, Sören. "Statistical Analysis of Co-Integrating Vectors." Journal of Economic Dynamics and Control 12 (June-September 1988), 231-254.
44. _ . "Estimation and Hypothesis Testing of Cointegrating Vectors in Gaussian Vector Autoregressive Models." Econometrica 59 (November 1991), 1551-80.
45. _ . "Determination of Cointergation Rank in the Presence of a Linear Trend." Oxford Bulletin of Economics and Statistics 54 (August 1992), 383-97.
46. Johansen, Sören, and Katarina Juselius. "Some Structural Hypotheses in a Multivariate Cointegration Analysis of Purchasing Power Parity and Uncovered Interest Parity for the UK." Journal of Econometrics 53 (July-September 1992), 211-44.
47. Jones, Charles I. "Time Series Tests of Endogenous Growth Models." Quarterly Journal of Economics 110 (May 1995), 495-525.
48. Klenow, Peter J., and Andres Rodriguez-Clare. "Economic Growth: A Review Essay." Journal of Monetary Economics 40 (December 1997), 597-618.
49. Kocherlakota, Narayana R., and Kei-Mu Yi. "Is There Endogenous Long-Run Growth? Evidence from the United States and the United Kingdom." Journal of Money, Credit, and Banking 29 (May 1997), 235-60.
50. Keynes, John Maynard. The General Theory of Employment, Interest, and Money. London: Macmillan, 1936.
51. Levine, Ross. "Stock Markets, Growth, and Tax Policy." Journal of Finance 46 (September 1991), 1445-65.
52. _ . "Financial Development and Economic Growth: Views and Agenda." Journal of Economic Literature 35 (1997), 688-726.
53. Levine, Ross, and David Renelt. "A Sensitivity Analysis of Cross-Country Growth Regressions." American Economic Review 82 (September 1992), 942-63.
54. Levine, Ross, and Sara Zervos. "Capital Control Liberalization and Stock Market Development." Policy Research Working Paper 1622, Washington D.C.: World Bank, 1995.
55. _ . "Stock Markets, Banks, and Economic Growth." American Economic Review 88 (June 1998), 537-58.
56. Luintel, Kul B., and Mosahid Khan. "A Quantitative Reassessment of Finance-Growth Nexus: Evidence from Multivariate VAR." Journal of Development Economics 60 (1999), 381-405.
57. Luintel, Kul B., and Krishna Paudyal. "Common Stochastic Trends between Forward and Spot Exchange Rates." Journal of International Money and Finance 17 (1998), 279-97.
58. Mayer, Colin. "New Issues in Corporate Finance." European Economic Review 32 (June 1988), 1167-88.
59. Osterwald-Lenum, Michael. "A Note with Quartiles of the Asymptotic Distribution of the ML Cointegration Rank Test Statistics." Oxford Bulletin of Economics and Statistics 54 (August 1992), 461-72.
60. Pesaran, M. Hashem, and Yongcheol Shin. "Long-Run Structural Modelling." University of Cambridge: Department of Applied Economics, Working Paper no. 9419, September 1994.
61. Pesaran, M. Hashem, and R. Smith. "Estimating Long-Run Relationships from Dynamic Heterogeneous Panels." Journal of Econometrics 68 (1995), 79-113.
62. Quah, Danny. "Empirical Cross-Section Dynamics in Economic Growth." European Economic Review 37 (April 1993), 426-34.
63. Quintos E. Carmela. "Sustainability of the Deficit Process with Structural Shifts." Journal of Business and Economic Statistics 13 (1995), 409-16.
64. Rajan, Raghuram G., and Luigi Zingales. "What Do We Know about Capital Structure? Some Evidence From International Data." Journal of Finance 50 (1995), 1421-60.
65. Rajan, Raghuram G., and Luigi Zingales. "Financial Dependence and Growth." Mimeo, University of Chicago, 1996.
66. Schwarz, Gideon. "Estimating the Dimension of a Model." Annals of Statistics 6 (1978), 461-64.
67. Shiller, Robert J. "Do Stock Prices Move Too Much to Be Justified by Subsequent Changes in Dividends?" American Economic Review 11 (1981), 421-36.
68. _ . Market Volatility. Cambridge, Mass.: MIT Press, 1989.
69. Singh, Ajit. "Stock Markets, Financial Liberalisation and Economic Development." Economic Journal 107 (May 1997), 771-82.
70. Stiglitz, Joseph E. "Credit Markets and the Control of Capital." Journal of Money, Credit, and Banking 17 (February 1985), 133-52.
71. Toda, Hiro Y., and Peter C.B. Phillips. "Vector Autoregressions and Causality." Econometrica 61 (November 1993), 1367-93.
72. Williamson, Stephen D. "Costly Monitoring, Financial Intermediation, and Equilibrium Credit Rationing." Journal of Monetary Economics 18 (September 1986), 159-79.