We investigate the degree of financial integration within and between European countries. We construct two measures of de-facto integration across European regions to capture quot;diversificationquot; and quot;developmentquot; finance in the language of Obstfeld and Taylor (2004). We find...

The effectiveness of macro-prudential policies to mitigate credit cycles and reduce capital flow volatility is at the center of policy debates. In this chapter, we investigate the factors which influence the performance of macro-prudential tools by focusing on institutions, financial structure,...

We investigate the degree of financial integration within and between European countries. We construct two measures of de-facto integration across European regions to capture "diversification" and "development" finance in the language of Obstfeld and Taylor (2004). We find evidence that capital...