IDEAS home Printed from https://ideas.repec.org/a/dah/aeqaeq/v62_y2016_i3_q3_p205-230.html
   My bibliography  Save this article

The State as a Financial Intermediary to Foster Long-Term Investments

Author

Listed:
  • Hans-Peter Burghof
  • Carola Müller

Abstract

The economic development of the European Union is hampered by insufficient private and public long-term investments. This weakness is seen as a rationale for state intervention, and numerous projects are discussed and implemented to find new ways to mobilize private capital for long-term investments. For an economic assessment of this policy approach, the following paper evaluates the role of the state as a financial intermediary. -- However, we cannot establish a dependable link between the ongoing depression of longterm investments in some European countries and a market failure in the market for the financing of such investments. Furthermore, the state can only imperfectly perform the tasks of a financial intermediary. And finally, approaches to mobilize retail investors’ money on the states’ behalf would crowd out the common bank deposits and thereby could lead to a significant increase of systemic risk.

Suggested Citation

  • Hans-Peter Burghof & Carola Müller, 2016. "The State as a Financial Intermediary to Foster Long-Term Investments," Applied Economics Quarterly (formerly: Konjunkturpolitik), Duncker & Humblot GmbH, Berlin, vol. 62(3), pages 205-230.
    • Handle: RePEc:dah:aeqaeq:v62_y2016_i3_q3_p205-230
    DOI: 10.3790/aeq.62.3.205
    as

    Download full text from publisher

    File URL: http://dx.doi.org/10.3790/aeq.62.3.205
    Download Restriction: Access to full text is restricted to subscribers (2008 onwards); Pay-per-view access from https://elibrary.duncker-humblot.com/journals/aeq (2008 onwards) and http://www.genios.de (2008 onwards)
    File URL: https://libkey.io/10.3790/aeq.62.3.205?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to search for a different version of it.

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:dah:aeqaeq:v62_y2016_i3_q3_p205-230. See general information about how to correct material in RePEc.

    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.

    We have no bibliographic references for this item. You can help adding them by using 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: E-Publishing-Team (email available below). General contact details of provider: https://www.duncker-humblot.de .

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

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.