This paper analyzes the effect of undervaluation on economic growth in the presence of borrowing constraints. Based on a two-sector, small open-economy model, we show that undervaluation can promote economic growth by partly correcting distortions in financial markets through the channels of...

This paper analyses the impact of development and efficiency of financial sector on economic growth of a group of selected developing countries using a cross-country data averaged over the period 2005-2009. The results show that the impact of financial sector efficiency on economic growth is...

This paper aims to test the validity of the causality between financial development and economic growth on energy consumption in three of North African countries. The study employs error correction model and Granger causaility test to analyze a dataset for three North African countries covering...

Institutional quality and financial development are important pillars of sustainable economic growth; this study explains the role of institutional quality and financial development in green growth in the South Asian economies over the period 2000-2018 with data from the World Bank. This study...

With global recovery not in sight, along with calls for stronger structural reform, international policy coordination is again under spotlight. Correcting global imbalance would contribute towards closing the demand gap. Emerging economies in particular should allow greater exchange rate...

While a large body of literature argues that financial intermediaries exert a causal impact on long-run growth, it doesn't investigate the links between financial architecture and technological change (as primary source of growth). We seek to shed light on these links by exploring the...

For the development of a country, its financial and economic backbone must be strong. This is especially true in the case of developing countries, who attach great importance to financial sector development and deepening in the pursuit of their poverty reduction goal. The financial sector...

Using a panel data set covering 139 countries over the 1970-2009 period, we empirically investigate the role of foreign direct investment on growth through diffusion of technology and innovation. Using an otherwise standard growth regression and regressions on productivity growth, we introduce a...

Financial markets in most developed economies were open to foreign investors before 1980, yet these countries continued to reform their financial systems dramatically in subsequent decades. During the same time period, high-skill industries become increasingly important; for example, in the US...

The present study aims to investigate the financial liberalisation and growth nexus in Pakistan by using the FM-OLS cointegration technique over the time period 1972 to 2016. The importance of the financial liberalisation process in Pakistan has been captured through the capital account...