Recent work suggests that financial development is important for economic growth, since financial markets more effectively allocate capital to firms with high value projects. For firms in poorly developed financial markets, implicit borrowing in the form of trade credit may provide an alternative source of funds.We show that industries with higher dependence on trade credit financing exhibit hi...

This paper studies the effects of financial integration on economic growth using an international panel data of 83 countries from 1974-2007. The effects of financial integration on economic growth differ considerably, depending on the type of external assets and liabilities as well as on the characteristics of countries that experience financial integration. In particular, when we break down ex...

this paper using endogenous growth models based on research and development, has investigated two economic relations in three groups of countries included developed countries, developing countries and a mixed group of both mentioned ones. at first, the effects of r&d; activities on patent growth have examined and then the relation between volume of patent and growth rate in these groups has sur...

this study investigates the effects of the government effectiveness and financial development indices on economic growth in d-8 countries over the period 1996-2012, by applying the panel smooth transition regression (pstr) model. for this purpose, we use non-linear least squares (nls) method for estimation of model. the estimation results reject the linearity hypothesis, and estimate two regime...

This paper aims to provide further insights into the linkages between stock market development and economic growth within the context of a dynamic general equilibrium framework of informational asymmetries, endogenous contract choice and capital accumulation. When firms have access to different projects with different unobservable rate of returns, the market valuation of those projects is an “a...

The aim of this paper is to provide further insights into the linkages between stock market development and economic growth. When it is not possible to distinguish between investment projects with different rates of return, market valuation of those projects is an “average value” reflecting the expected return across all investment opportunities. Consequently, as in a typical lemon’s market, hi...

This study aims to determine the effect of financial development on economic growth in ASEAN-4 during 1999-2018. uses regression method and panel approaches using Fixed Effect Model method. research FEM quantitative a stata 13 estimation tool. The data results this indicated that has positive relationship with growth. is evident from three proxies, which have correlation domestic credit private...