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Tribalism and Financial Development

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  • Kodila-Tedika, Oasis
  • Asongu, Simplice

Abstract

We assess the correlations between tribalism and financial development in 123 countries using data averages from 2000-2010. The tribalism index is used to measure tribalism whereas financial development is measured from perspectives of financial intermediary and stock market developments. The long-term variable is stock market capitalisation while short-run indicators include: private and domestic credits. We find that tribalism is negatively correlated with financial development and the magnitude of negativity is higher for financial intermediary development relative to stock market development. The findings are particularly relevant to African and Middle Eastern countries where the scourge is most pronounced.

Suggested Citation

  • Kodila-Tedika, Oasis & Asongu, Simplice, 2015. "Tribalism and Financial Development," MPRA Paper 67855, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:67855
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    Cited by:

    1. Maryam Barzegar Marvasti & Somayeh Razzaghi, 2020. "Investigating the Determinants of Financial Development in OPEC Countries: An Application of Bayesian Model Averaging Approach," International Journal of Energy Economics and Policy, Econjournals, vol. 10(1), pages 342-352.
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    4. Oasis Kodila-Tedika & Simplice Asongu & Matthias Cinyabuguma, 2016. "Financial Development and Geographic Isolation: Global Evidence," Working Papers of the African Governance and Development Institute. 16/014, African Governance and Development Institute..
    5. Kodila-Tedika, Oasis & Asongu, Simplice, 2015. "An Empirical Note on Tribalism and Government Effectiveness," MPRA Paper 68313, University Library of Munich, Germany.
    6. Simplice A. Asongu & Oasis Kodila-Tedika, 2018. "“This One Is 400 Libyan Dinars, This One Is 500”: Insights from Cognitive Human Capital and Slave Trade," International Economic Journal, Taylor & Francis Journals, vol. 32(2), pages 291-306, April.
    7. Simplice A. Asongu & Oasis Kodila-Tedika, 2018. "“This one is 400 Libyan dinars, this one is 500†: Insights from Cognitive Human Capital and Slave Trade," AFEA Working Papers 18/014, African Finance and Economic Association (AFEA).
    8. Simplice Asongu & Oasis Kodila-Tedika, 2015. "Intelligence and Slave Export Intensity: A Cross-Country Empirical Assessment," Working Papers of the African Governance and Development Institute. 15/029, African Governance and Development Institute..

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    More about this item

    Keywords

    Tribalism; Financial Development;

    JEL classification:

    • E62 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Fiscal Policy; Modern Monetary Theory
    • G20 - Financial Economics - - Financial Institutions and Services - - - General
    • H11 - Public Economics - - Structure and Scope of Government - - - Structure and Scope of Government
    • H20 - Public Economics - - Taxation, Subsidies, and Revenue - - - General
    • O43 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Institutions and Growth

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