Financial Systems, Investment acd Growth-after Liberalization: Some evidence from Asia
Those who advocate liberalization of control and regulation of the movements of financial capital and the functioning of financial firms point to two adverse effects that intervention in financial markets allegedly have. First, it is seen as adversely affecting the quality of the functions performed by the (now constrained) financial system which include facilitating the trading of risk, allocating capital, monitoring managers, mobilizing savings, managing maturity mismatches, and easing the trading of goods, services, and financial contracts. Second, it is seen as resulting in financial repression which keeps real interest rates low and adversely affects savings (and in pre-Keynesian fashion the level of investment) as well as discourages intermediation (since savers prefer to invest directly in projects they see as yielding higher returns). This, it is argued, results in the misallocation of resources. In the event, savings and investment are lower and investment is not allocated to the highest yielding projects, affecting growth adversely.
C.P.Chandrasekhar
Centre for Economic Studies and Planning Jawaharlal Nehru University
国际会议
北京
英文
167-187
2010-11-01（万方平台首次上网日期，不代表论文的发表时间）