کد مقاله کد نشریه سال انتشار مقاله انگلیسی نسخه تمام متن
5090061 1375615 2012 15 صفحه PDF دانلود رایگان
عنوان انگلیسی مقاله ISI
Local financial development and growth
موضوعات مرتبط
علوم انسانی و اجتماعی اقتصاد، اقتصادسنجی و امور مالی اقتصاد و اقتصادسنجی
پیش نمایش صفحه اول مقاله
Local financial development and growth
چکیده انگلیسی

Using unique, district-level, economic growth data, I investigate the connection between banking sector development, human capital, and economic growth in Indian districts. Disaggregate data helps avoid many of the omitted variable problems that plague similar cross-country studies. The data show districts to be financially constrained by the lack of local banking sector development, and the relationship may be non-linear. For districts in the sample, moving from the 75th percentile of credit/net domestic product to the 25th percentile implies an average loss of 4% in growth over the 1990s decade. The data also shows that human capital deepening can reduce the financial constraint. In a district at the 25th literacy percentile, the implied growth loss due to a constrained banking sector is twice as large as in a district at the 75th literacy percentile. The results are robust to the inclusion of various controls and changes in specification.

► I study the link between financial development and growth in sub-national data. ► Lack of local banking capacity appears to reduce growth and the link is non-linear. ► Human capital mitigates the lack of financial development, acting as substitute. ► The results are robust to controls, instruments, and different specifications.

ناشر
Database: Elsevier - ScienceDirect (ساینس دایرکت)
Journal: Journal of Banking & Finance - Volume 36, Issue 5, May 2012, Pages 1548-1562
نویسندگان
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