financial intermediation on economic activity. On the one hand, the empirical growth literature finds a positive effect of … paper starts by illustrating these opposing effects by, first, analyzing the dynamics of output growth and financial … intermediation around systemic banking crises and, second, showing that the growth enhancing effects of financial depth are weaker in …

Although conventional wisdom suggests that reducing military spending may improve a country’s economic growth … performance, empirical studies have produced ambiguous results. This paper extends a standard growth model and estimates it using … growth-retarding effects of military spending via its adverse impact on capital formation and resource allocation. Model …

intermediation on economic activity. On the one hand, the empirical growth literature finds a positive effect of financial depth as …