UID:
edocfu_9958068558602883
Format:
1 online resource (45 pages)
ISBN:
1-5135-2492-5
,
1-5135-8969-5
,
1-5135-6392-0
Series Statement:
IMF Working Papers
Content:
This study aims to identify policies that influence the development of financial institutions as measured across three dimensions: depth, efficiency, and stability. Applying the concept of the financial possibility frontier, developed by Beck & Feyen (2013) and formalized by Barajas et al (2013a), we determine key policy variables affecting the gap between actual levels of development and benchmarks predicted by structural variables. Our dynamic panel estimation shows that inflation, trade openness, institutional quality, and banking crises significantly affect financial development. Our analysis also helps identify potential complementarities and trade-offs for policy makers, based on the effect of the policy variables across the different dimensions of financial development.
Note:
Cover -- Contents -- Abstract -- I. Introduction -- II. The Financial Possibility Frontier -- III. Determinants of Financial Development -- IV. Methodology -- V. Data, Measurement, and Sources -- VI. Empirical Analysis -- VII. Conclusions -- Tables -- 2a. Summary Statistics and Correlations: Banking Sector Depth (gap analysis), Global Sample, Annual Data -- 2b. Determinants of Banking Sector Depth (gap analysis) -- 2c. Robustness Checks: Determinants of Banking Sector Depth (gap analysis) -- 3a. Summary Statistics and Correlations: Banking Sector Efficiency (gap analysis), Global Sample, Annual Data -- 3b. Determinants of Banking Sector Efficiency (gap analysis) -- 3c. Robustness Checks: Determinants of Banking Sector Efficiency (gap analysis) -- 4a. Summary Statistics and Correlations: Banking Sector Stability (gap analysis), Global Sample, Annual Data -- 4b. Determinants of Banking Sector Stability (gap analysis) -- 4c. Robustness Checks: Determinants of Banking Sector Stability (gap analysis) -- 5a. Summary Statistics and Correlations: Banking Sector Depth, Global Sample, Annual Data -- 5b. Determinants of Banking Sector Depth -- 5c. Robustness Checks: Determinants of Banking Sector Depth -- 6a. Summary Statistics and Correlations: Banking Sector Efficiency, Global sample, Annual Data -- 6b. Determinants of Banking Sector Efficiency -- 6c. Robustness Checks: Determinants of Banking Sector Efficiency -- 7a. Summary Statistics and Correlations: Banking Sector Stability, Global Sample, Annual Data -- 7b. Determinants of Banking Sector Stability -- 7c. Robustness Checks: Determinants of Banking Sector Stability -- 8. The Impact of Policy Variables on the Different Dimensions of Financial Development -- References.
Additional Edition:
ISBN 1-5135-0117-8
Language:
English
