- Author
- Mehrara Mohsen (University of Tehran, Iran), Ghamati Fateme (University of Tehran, Iran)
- Title
- Financial Development and Economic Growth in Developed Countries
- Source
- International Letters of Social and Humanistic Sciences (ILSHS), 2014, vol. 25, s. 75-81, tab., bibliogr. 23 poz.
- Keyword
- Rozwój, Wzrost gospodarczy, Finanse
Development, Economic growth, Finance - Note
- summ.
- Abstract
- Financial development is one of the keys to the long-run economic growth. Since economic growth is one of the important goals of every country, the investigation of the causes of economic growth is vital so that planners and policy makers should pay attention to it. Economists traditionally focusing on the long-run relationship between financial development and economic growth have argued that the development of financial section by efficient resource allocation and financing innovative activities can support and boost economic growth. The relationship between financial development and economic growth is one of the macroeconomic relations which were investigated in empirical studies in Iran and other countries. Some economists believe that financial section has no effect on real section but the literature shows a strong relationship between financial development and economic growth. In this research the effect of indicators of financial development on economic growth of developed countries is investigated by using panel data in 10 chosen countries during 1997-2007. The results show that financial development indicator has an important effect on level of GDP, also other explanatory variables are statistically significant in economic growth. Therefore it can be said that supply of financial markets would boost economic growth. (original abstract)
- Full text
- Show
- Bibliography
-
- Fry M. J., Journal of Money, Credit and Banking 34(4) (1978) 56-65.
- Goldsmith R. (1969). Financial Structure and development, New Haven, Yale University Press.
- King R. G., R. Levine, Quarterly Journal of Economics 89(3) (1993) 67-55.
- Komeyjani A., N. Pourrostami, Economic Research Journal XII (1387) 31-51.
- Kul B. L., M. Khan, Journal of Development Economics 94(4) (1999) 9-22.
- Mckinnon, R. (1973), Money and Capital in Economic Development, Washington, D.C.: brooking Institution.
- Lucas R E., Journal of Monetary Economics 40(2) (1988) 90-103.
- Motmani M. (1388). the Investigating of the Relationship Between Financial Development And Economic Growth In Iran, Business Studies, No. 24, April, and May 88.
- Patrick H. T., Economic Development and Cultural Change 57(3) (1966) 76-89.
- Rasekhi S., Ranjbar O., Journal of Development 78(27) (1388) 11-22.
- Robinson Joan (1952). The Rate of Interest and Other Essays. London: Macmillan.
- Rousseau P. L., Journal of Macroeconomics 88(1) (2005) 55-68.
- Rousseau P., Wachtel P., Journal of Money, Credit and Banking 30(4) (19998) 78-89.
- Schumpeter Joseph. A. (1934). The Theory of Economic Development, Cambridge: Harvard University Press.
- Shaw E. (1973). Financial Deepening in Economic Development, Oxford University press.
- Stern N. (1989). The Economics of Development: A Survey, Economic Journal, September.
- Lucas R. E. Jr., Econometica 61(2) (1993) 251.
- Mohsen Mehrara, Masoumeh zirak, International Letters of Social and Humanistic Sciences 2 (2013) 32-38.
- Mohsen Mehrara, Maysam Musai, International Letters of Social and Humanistic Sciences 5 (2013) 55-62.
- Mohsen Mehrara, Maysam Musai, International Letters of Social and Humanistic Sciences 8 (2013) 1-7.
- Mohsen Mehrara, International Letters of Social and Humanistic Sciences 9 (2013) 59-64.
- Mohsen Mehrara, Hamid Abrishami, Mostafa Boroujli, Mahan Amin, International Letters of Social and Humanistic Sciences 11 (2013) 76-83.
- Mohsen Mehrara, Amin Haghnejad, Jalal Dehnavi, Fereshteh Jandaghi Meybodi, International Letters of Social and Humanistic Sciences 3 (2014) 1-19.
- Cited by
- ISSN
- 2300-2697
- Language
- eng
