Welfare gains from financial liberalization
Financial liberalization has been a controversial issue, as empirical evidence for growth enhancing effects is mixed. Here, we find sizable welfare gains from liberalization (cost to repression), though the gain in economic growth is ambiguous. We take the view that financial liberalization is a...
| Main Authors: | , |
|---|---|
| Other Authors: | |
| Format: | Article |
| Language: | en_US |
| Published: |
John Wiley & Sons, Inc.
2011
|
| Online Access: | http://hdl.handle.net/1721.1/61722 https://orcid.org/0000-0002-1528-8102 |
| _version_ | 1826193638766411776 |
|---|---|
| author | Townsend, Robert Ueda, Kenichi |
| author2 | Massachusetts Institute of Technology. Department of Economics |
| author_facet | Massachusetts Institute of Technology. Department of Economics Townsend, Robert Ueda, Kenichi |
| author_sort | Townsend, Robert |
| collection | MIT |
| description | Financial liberalization has been a controversial issue, as empirical evidence for growth enhancing
effects is mixed. Here, we find sizable welfare gains from liberalization (cost to repression), though
the gain in economic growth is ambiguous. We take the view that financial liberalization is a
government policy that alters the path of financial deepening, while financial deepening is
endogenously chosen by agents given a policy and occurs in transition towards a distant steady state.
This history-dependent view necessitates the use of simulation analysis based on a growth model.
Our application is a specific episode: Thailand from 1976 to 1996. |
| first_indexed | 2024-09-23T09:42:18Z |
| format | Article |
| id | mit-1721.1/61722 |
| institution | Massachusetts Institute of Technology |
| language | en_US |
| last_indexed | 2024-09-23T09:42:18Z |
| publishDate | 2011 |
| publisher | John Wiley & Sons, Inc. |
| record_format | dspace |
| spelling | mit-1721.1/617222022-09-26T13:14:10Z Welfare gains from financial liberalization Townsend, Robert Ueda, Kenichi Massachusetts Institute of Technology. Department of Economics Townsend, Robert Townsend, Robert Financial liberalization has been a controversial issue, as empirical evidence for growth enhancing effects is mixed. Here, we find sizable welfare gains from liberalization (cost to repression), though the gain in economic growth is ambiguous. We take the view that financial liberalization is a government policy that alters the path of financial deepening, while financial deepening is endogenously chosen by agents given a policy and occurs in transition towards a distant steady state. This history-dependent view necessitates the use of simulation analysis based on a growth model. Our application is a specific episode: Thailand from 1976 to 1996. National Science Foundation (U.S.) Templeton Foundation Bill & Melinda Gates Foundation Eunice Kennedy Shriver National Institute of Child Health and Human Development (U.S.) (NICHD) 2011-03-18T13:31:26Z 2011-03-18T13:31:26Z 2010-08 2009-01 Article http://purl.org/eprint/type/JournalArticle 1468-2354 http://hdl.handle.net/1721.1/61722 Townsend, . R. M. and Ueda, K. (2010), WELFARE GAINS FROM FINANCIAL LIBERALIZATION. International Economic Review, 51: 553–597. doi: 10.1111/j.1468-2354.2010.00593.x https://orcid.org/0000-0002-1528-8102 en_US http://dx.doi.org/10.1111/j.1468-2354.2010.00593.x International Economic Review Creative Commons Attribution-Noncommercial-Share Alike 3.0 http://creativecommons.org/licenses/by-nc-sa/3.0/ application/pdf John Wiley & Sons, Inc. MIT web domain |
| spellingShingle | Townsend, Robert Ueda, Kenichi Welfare gains from financial liberalization |
| title | Welfare gains from financial liberalization |
| title_full | Welfare gains from financial liberalization |
| title_fullStr | Welfare gains from financial liberalization |
| title_full_unstemmed | Welfare gains from financial liberalization |
| title_short | Welfare gains from financial liberalization |
| title_sort | welfare gains from financial liberalization |
| url | http://hdl.handle.net/1721.1/61722 https://orcid.org/0000-0002-1528-8102 |
| work_keys_str_mv | AT townsendrobert welfaregainsfromfinancialliberalization AT uedakenichi welfaregainsfromfinancialliberalization |