| Tóm tắt: | We examine the relationship between finance and economic growth in the metropolitan areas of 75 countries at various stages of economic development in the period 2001-15. Our analysis demonstrates an inverted U-shape relationship between finance and growth. This relationship becomes even more significant in the areas of a country outside its largest financial center, indicating that while these areas can benefit from financial development, they are also the most vulnerable. We show that large financial centers can have an impact on growth across their national economies, but in doing so they complement rather than replace local financial centers. Overall, our results highlight the risks associated with the excesses of financial development, and lend evidence to support calls for more decentralized financial systems.
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