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Globalization and financial development

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  • Mishkin, Frederic S.

Abstract

This paper argues that globalization is a key factor in stimulating institutional reforms in developing countries that promote financial development and economic growth. Advanced countries can help in this process by supporting the opening of their markets to goods and services from emerging-market countries. By encouraging these countries to increase their participation in global markets, advanced countries can create exactly the right incentives for developing countries to implement the reforms that will enable them to have high economic growth.

Suggested Citation

  • Mishkin, Frederic S., 2009. "Globalization and financial development," Journal of Development Economics, Elsevier, vol. 89(2), pages 164-169, July.
  • Handle: RePEc:eee:deveco:v:89:y:2009:i:2:p:164-169
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    Cited by:

    1. Zhang, Chengsi & Zhu, Yueteng & Lu, Zhe, 2015. "Trade openness, financial openness, and financial development in China," Journal of International Money and Finance, Elsevier, vol. 59(C), pages 287-309.
    2. Shahbaz, Muhammad & Mallick, Hrushikesh & Mahalik, Mantu Kumar & Sadorsky, Perry, 2016. "The role of globalization on the recent evolution of energy demand in India: Implications for sustainable development," Energy Economics, Elsevier, vol. 55(C), pages 52-68.
    3. Peter Eppinger & Niklas Potrafke, 2016. "Did Globalisation Influence Credit Market Deregulation?," The World Economy, Wiley Blackwell, vol. 39(3), pages 426-443, March.
    4. Magda Kandil & Muhammad Shahbaz & Samia Nasreen, 2015. "The interaction between globalization and financial development: new evidence from panel cointegration and causality analysis," Empirical Economics, Springer, pages 1317-1339.
    5. Gnangnon, Sèna Kimm, 2017. "Structural economic vulnerability, openness and bilateral development aid flows," Economic Analysis and Policy, Elsevier, vol. 53(C), pages 77-95.
    6. Morgan Bazilian & Patrick Nussbaumer & Giorgio Gualberti & Erik Haites & Michael Levi & Judy Siegel & Daniel M. Kammen & Joergen Fenhann, 2011. "Informing the Financing of Universal Energy Access: An Assessment of Current Flows," Working Papers 2011.56, Fondazione Eni Enrico Mattei.
    7. repec:eee:empfin:v:44:y:2017:i:c:p:108-124 is not listed on IDEAS
    8. Law, Siong Hook & Azman-Saini, W.N.W. & Ibrahim, Mansor H., 2013. "Institutional quality thresholds and the finance – Growth nexus," Journal of Banking & Finance, Elsevier, vol. 37(12), pages 5373-5381.
    9. repec:eee:rensus:v:75:y:2017:i:c:p:1022-1034 is not listed on IDEAS
    10. Mahalik, Mantu Kumar & Babu, M. Suresh & Loganathan, Nanthakumar & Shahbaz, Muhammad, 2017. "Does financial development intensify energy consumption in Saudi Arabia?," Renewable and Sustainable Energy Reviews, Elsevier, vol. 75(C), pages 1022-1034.
    11. repec:taf:applec:v:50:y:2018:i:6:p:574-595 is not listed on IDEAS
    12. Siong Hook Law & Hui Boon Tan, 2009. "The Role Of Financial Development On Income Inequality In Malaysia," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 34(2), pages 153-168, December.
    13. Nuri Yildirim & Huseyin Tastan, 2012. "Capital Flows and Economic Growth across Spectral requencies: Evidence from Turkey," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 59(4), pages 441-462, September.
    14. Siong Law & W. Azman-Saini, 2012. "Institutional quality, governance, and financial development," Economics of Governance, Springer, vol. 13(3), pages 217-236, September.
    15. Jun Wen & Chun-Ping Chang & Jia-Hsi Weng & Jiliang Liu, 2016. "Globalization And Real Gdp: New Evidence Using Panel Vector Autoregression," The Singapore Economic Review (SER), World Scientific Publishing Co. Pte. Ltd., vol. 61(05), pages 1-34, December.
    16. Manizheh Falahaty & Siong Law, 2012. "The Effect of Globalization on Financial Development in the MENA Region," Transition Studies Review, Springer;Central Eastern European University Network (CEEUN), pages 205-223.
    17. Mollick, André Varella & Cabral, René & Carneiro, Francisco G., 2011. "Does inflation targeting matter for output growth? Evidence from industrial and emerging economies," Journal of Policy Modeling, Elsevier, vol. 33(4), pages 537-551, July.
    18. Narjess Boubakri & Jean-Claude Cosset & Nassima Debab & Pascale Valéry, 2011. "Privatization and Globalization: an Empirical Analysis," Cahiers de recherche 1130, CIRPEE.
    19. Muhammad Shahbaz & Hrushikesh Mallick & Mantu Kumar Mahalik & Shawkat Hammoudeh, 2018. "Is globalization detrimental to financial development? Further evidence from a very large emerging economy with significant orientation towards policies," Applied Economics, Taylor & Francis Journals, vol. 50(6), pages 574-595, February.
    20. Shahbaz, Muhammad & Shahzad, Syed Jawad Hussain & Kumar, Mantu, 2017. "Is Globalization Detrimental to CO2 Emissions in Japan? New Threshold Analysis," MPRA Paper 82413, University Library of Munich, Germany, revised 03 Nov 2017.

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