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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 …
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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 …
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