This paper examines the dynamic impact of both bank- and market-based financial development on economic growth in … to examine this linkage. Unlike certain previous studies, this study uses both bank- and market-based financial …

matter for the relative merits of bank-based and market-based financial systems. Market-based systems work better in low rule … of law countries, while bank-based systems are more efficient in high-rule of law countries. These results are consistent … with the premise that market-based systems’ superiority in solving the incomplete information problem dominates over bank …

control for banks' financial strength. Our results challenge the idea that bank credit fosters economic growth and that … from the presence of foreign-owned banks. To this end, we introduce some refined measures of financial development and … foreign-owned banks are indisputably a positive addition to local markets able to foster economic growth …

a bank-based financial system. However, some scholars find that China has a market-based financial system. This study … tries to resolve this puzzle. Following the definitions of the World Bank, we construct China’s financial structure index … with stock issuance amount, China is bank-based, which aligns with economic intuition …

is any difference in the effects of the factors of economic growth across two distinct financial systems (bank-based and …

Recoveries vary considerably across countries: our paper compares recoveries in bank-based and market-based economies … and finds that market-based economies experience significantly and durably stronger rebounds than the bank-based ones (in … particular the more bank-based economies of continental Europe). Further, stronger recoveries also tend to be associated with …

; however, the impact of bank profitability on economic growth is still unclear. We investigate the link between bank … of bank profitability on economic growth is more prominent in small banking sectors. Perhaps surprisingly, we found that … the bank size has a negative impact on GDP growth, with the influence of bank profitability on economic growth reducing as …

The paper assesses the main factors underlying the decreasing profitability in the European banking sector, in … the absence of a deep and liquid capital market. A stronger European banking system requires true pan-European banks and a …