Idea Transcript
View ScienceDirect over a secure connection: switch to HTTPS
Journals
Books
Register
Sign in
Outline
Purchase PDFPurchase
Search ScienceDirect
Export
Advanced
Outline Abstract JEL classification Keywords 1. Introduction 2. Measuring financial development, growth, and its sources 3. Methodology 4. Finance and the channels to economic growth 5. Finance and private saving 6. Conclusions Appendix A. Data Appendix References
Show full outline
Tables (13) Table 1 Table 2 Table 3 Table 4 Table 5 Table 6
Show all tables
Journal of Financial Economics Volume 58, Issues 1–2, 2000, Pages 261-300
Finance and the sources of growth Thorsten Beck a
, Ross Levine b, Norman Loayza c , a
Show more https://doi.org/10.1016/S0304-405X(00)00072-6
Get rights and content
Abstract This paper evaluates the empirical relation between the level of financial intermediary development and (i) economic growth, (ii) total factor productivity growth, (iii) physical capital accumulation, and (iv) private savings rates. We use (a) a pure cross-country instrumental variable estimator to extract the exogenous component of financial intermediary development, and (b) a new panel technique that controls for biases associated with simultaneity and unobserved countryspecific effects. After controlling for these potential biases, we find that (1) financial intermediaries exert a large, positive impact on total factor productivity growth, which feeds through to overall GDP growth and (2) the long-run links between financial intermediary development and both physical capital growth and private savings rates are tenuous.
Previous article
JEL classification G21; O16; O40
Keywords Financial development; Economic growth; Capital accumulation; Productivity growth; Saving
Choose an option to locate/access this article: Check if you have access through your login credentials or your institution.
Check Access Loading [Contrib]/a11y/accessibility-menu.js
Next article
or
Purchase Rent at DeepDyve or Check for this article elsewhere
Special issue articles
Recommended articles
Citing articles (918)
We thank seminar participants at Ohio State University, the New York Federal Reserve Bank, Indiana University, Stanford University, and an anonymous referee for helpful suggestions. We thank Elena Mekhova for excellent support with the manuscript. This paper's findings, interpretations, and conclusions are entirely those of the authors and do not necessarily represent the views of the Central Bank of Chile, the World Bank, its Executive Directors, or the countries they represent.
Copyright © 2000 Elsevier Science B.V. All rights reserved.
Part of special issue:
Special Issue on International Corporate Governance Other articles from this issue Investor protection and corporate governance Journal of Financial Economics, Volume 58, Issues 1–2, 2000, pp. 3-27 Download PDF
View details
Universal banking and the performance of German firms Journal of Financial Economics, Volume 58, Issues 1–2, 2000, pp. 29-80 Download PDF
View details
The separation of ownership and control in East Asian Corporations Journal of Financial Economics, Volume 58, Issues 1–2, 2000, pp. 81-112 Download PDF
View details
View more articles
Recommended articles Citing articles (918) Article Metrics Captures Exports-Saves:
101
Readers:
488
Social Media Shares, Likes & Comments:
3
Citations Citation Indexes:
918
View details
About ScienceDirect
Remote access
Shopping cart
Contact and support
Terms and conditions
Privacy policy
Cookies are used by this site. For more information, visit the cookies page. Copyright © 2017 Elsevier B.V. or its licensors or contributors. ScienceDirect ® is a registered trademark of Elsevier B.V.