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Capital Market Union and Growth Prospects for Small and Medium Enterprises

Author

Listed:
  • Giorgio Barba Navaretti

    (University of Milan and LdA)

  • Giacomo Calzolari

    (European University Institute, CEPR and LdA)

  • Gianmarco Ottaviano

    (Bocconi University, London School of Economics, CEP, CEPR and LdA)

  • Alberto Franco Pozzolo

    (University of Molise and LdA)

Abstract

One of the key aims of the CMU is easing the access of SMEs to credit and capital markets. This paper examines the role of SMEs in the European economy and their financial structure. It looks at the potential effects of the CMU, by specifically focusing on the informational market failures affecting SMEs finance. A fully integrated European Capital market will be beneficial to SMEs, and the European economy, if it does entice adequate large-scale technologies and actions to solve market failures related to informational issues. Otherwise, it may generate core-periphery outcomes, with peripheral regions and weakers SMEs further excluded from crucial sources of finance.

Suggested Citation

  • Giorgio Barba Navaretti & Giacomo Calzolari & Gianmarco Ottaviano & Alberto Franco Pozzolo, 2019. "Capital Market Union and Growth Prospects for Small and Medium Enterprises," Development Working Papers 449, Centro Studi Luca d'Agliano, University of Milano.
    • Handle: RePEc:csl:devewp:449
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    References listed on IDEAS

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