Advanced Search
MyIDEAS: Login

Stock Market Liberalizations

Contents:

Author Info

  • Norbert Funke
  • Nicola Fuchs-Schündeln
Registered author(s):

    Abstract

    Using a panel of 27 countries, we analyze the effects of stock market liberalization on financial and macroeconomic development. We find that liberalization is associated with a short-term increase in real private investment growth of about 14 percentage points cumulatively in the four years following liberalization and a cumulative 4 percentage point increase in real GDP per capita growth. Growth tends to be higher if institutional reforms precede liberalization. In contrast to other studies, we also find evidence for a permanent growth effect of about 0.4 percent a year in an extended sample of 72 countries.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.imf.org/external/pubs/cat/longres.aspx?sk=15513
    Download Restriction: no

    Bibliographic Info

    Paper provided by International Monetary Fund in its series IMF Working Papers with number 01/193.

    as in new window
    Length: 40
    Date of creation: 01 Dec 2001
    Date of revision:
    Handle: RePEc:imf:imfwpa:01/193

    Contact details of provider:
    Postal: International Monetary Fund, Washington, DC USA
    Phone: (202) 623-7000
    Fax: (202) 623-4661
    Email:
    Web page: http://www.imf.org/external/pubind.htm
    More information through EDIRC

    Order Information:
    Web: http://www.imf.org/external/pubs/pubs/ord_info.htm

    Related research

    Keywords: Stock markets; stock market; stock market liberalization; credit rating; stock market liberalizations; stock market development; stock exchange; capital account liberalization; cost of capital; financial liberalization; equity market; equity markets; capital formation; capital market; stock exchanges; international capital; equity capital; capital accumulation; access to international capital; international finance; insider trading; equity prices; capitalization ratio; financial sector; financial markets; capital outflows; stock market capitalization; capital gains; liquid markets; international financial statistics; capital inflows; capital controls; consumer price index; repatriation of capital; financial economics; risk-free interest rate; efficiency of capital; foreign capital; domestic financial markets; domestic equity; foreign security; international finance corporation; international capital market; financial intermediaries; financial liberalizations; securities portfolios; stock market openings; financial system; voting stocks; financial market; stock prices; currency crises;

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Biaggio Bossone & Sandeep Mahajan & Farah Zahir, 2003. "Financial Infrastructure, Group Interests, and Capital Accumulation," IMF Working Papers 03/24, International Monetary Fund.
    2. Grais, Wafik & Kantur, Zeynep, 2003. "The changing financial landscape : opportunities and challenges for the Middle East and North Africa," Policy Research Working Paper Series 3050, The World Bank.
    3. Frenkel, Michael & Menkhoff, Lukas, 2003. "Are Foreign Institutional Investors Good for Emerging Markets?," Hannover Economic Papers (HEP) dp-283, Leibniz Universität Hannover, Wirtschaftswissenschaftliche Fakultät.
    4. Saleh M. Nsouli & Norbert Funke, 2003. "The New Partnership for Africa's Development (NEPAD) Opportunities and Challenges," IMF Working Papers 03/69, International Monetary Fund.
    5. Eva de Francisco, 2005. "Limited Participation, Income Distribution and Capital Account Liberalization," Computing in Economics and Finance 2005 454, Society for Computational Economics.
    6. Norbert Funke, 2002. "Stock Market Developments and Private Consumer Spending in Emerging Markets," IMF Working Papers 02/238, International Monetary Fund.
    7. Ben Naceur, Samy & Ghazouani, Samir & Omran, Mohammed, 2008. "Does stock market liberalization spur financial and economic development in the MENA region?," Journal of Comparative Economics, Elsevier, vol. 36(4), pages 673-693, December.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:imf:imfwpa:01/193. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Jim Beardow) or (Hassan Zaidi).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.