Financial Structure and Economic Growth: A Cross-Country Comparison of Banking Markets and Development

Author: None
Publisher:
Publish Date: 2006-12-27
Features: This book is a series of research reports specifically focused on global financial development and economic growth, led by the renowned economist T. Beck, Esri Demirgü?-Kunt, and Ross Levine. The research team constructs a comprehensive and systematic database of financial development for countries for the first time in the book. It presents information on the size, productivity, and business activities of financial markets and institutions in 150 countries and regions, as well as a wealth of data on their political, economic, and social environments. This is the most comprehensive and authoritative financial development database in academia to date. Building on this database, the research team conducts rigorous studies, not only establishing a new indicator system and methodology for evaluating financial development but also challenging many traditional and widely accepted beliefs. The book particularly highlights that it is the overall level of financial development, not the financial structure, that promotes economic growth. Additionally, differences in political and legal systems also influence the relationship between financial development and economic growth. Therefore, the authors suggest that policymakers should focus less on financial structure and more on legal, regulatory, and market-promoting policies that advance market and banking operations, as these may yield greater returns. This book elevates financial development research to a new level.