Does financial openness promote economic integration? Some evidence from Europe and the CIS

Arbeitspapier

We study whether financial openness facilitates the economic integration of formerly centrally planned economies with the EU-15. Two dimensions of economic integration are considered: cross-country convergence of per-capita incomes and bilateral trade in goods and services. We find that more financially open economies effectively catch-up faster and trade more with the EU-15. These integration-enhancing effects occur over and above any effect stemming from domestic financial deepening and other factors determining growth and trade.

Object Details

• Language: Englisch
• ISBN: 9291907626

References and Relationships

• Bibliographic citation: Series: WIDER Research Paper ; No. 2005/74

Classification and Topics

• Classification: Wirtschaft ; Trade: General ; Economic Integration ; International Finance: General ; Financial Aspects of Economic Integration ; Macroeconomic Aspects of International Trade and Finance: General
• Subject: economic integration ; financial openness ; gravity models ; catching-up ; Kapitalmarktliberalisierung ; EU-Staaten ; GUS-Staaten

Contributors, Location and Time

• Event: Geistige Schöpfung
• (who): Carmignani, Fabrizio ; Chowdhury, Abdur R.
• Event: Veröffentlichung
• (who): The United Nations University World Institute for Development Economics Research (UNU-WIDER)
• (where): Helsinki
• (when): 2005

Further information

• Handle: http://hdl.handle.net/10419/63374
• Last update: 20.09.2024, 8:22 AM CEST