The Sweet-Bitter Growth Story of Stock Market Liberalization
We examine both the long-run average and the year-by-year dynamic growth effects of stock market liberalization while controlling for the self-selection problem of policy adoption.We show that,although without any significant long-run effects,liberalization stimulates growth in the first four-year period following liberalization.However,this temporary phenomenon is driven by consumption rather than investment.Furthermore,the impact of liberalization on growth eventually becomes significantly negative since the 10th year of liberalization and is accompanied by lower investment growth and higher probabilities of currency crises.Our results suggest that the neo-classical growth theory cannot fully explain the true growth effects of liberalization.
Stock Market Liberalization Economic Growth Neo-classical Growth Theory Currency Crises
Shu Lin Haichun Ye
School of Economics,Fudan University,600 Guoquan Road,Shanghai 200433,China. School of Economics,Shanghai University of Finance and Economics,777 Guoding Road,Shanghai 200433,Ch
国内会议
杭州
英文
1-43
2012-10-27（万方平台首次上网日期，不代表论文的发表时间）