The aim of this paper is to investigate the long run relationship between the development of banks and stock markets and economic growth. We make use of the Groen and Kleibergen (2003) panel cointegration methodology to test the number of cointegrating vectors among these three variables for 5...

Recent empirical evidence shows that gross official capital transactions flow up- stream in the international financial markets due to government policy objectives and that they account for the current account surpluses observed in the last decade in the fast-growing emerging economies....

In this paper, we investigate the convergence process within the European Union (27 countries). More particularly, we study the convergence process of the new entrants from Central and Eastern Europe and of the 15 Western countries between 1990 and 2007. Applying a panel approach to the...

We develop a two step estimation procedure to estimate nonlinear panel data models. Our approach combines the “correlated random effect” and the “control function” approach to handel endogeneity of regressors that are correlated with both the unobserved heterogeneity as well as the...