What is the impact of financial depth on economic growth within middle income countries?
This paper utilizes the Least Squares Dummy Variables (LSDV) technique in investigating the effect of financial depth on economic growth within a sample of middle-income countries, over the period 2005–2017. The research finds that financial depth has a negative impact on real GDP growth within midd...
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Ümit Hacıoğlu
2021-02-01
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doaj-32c6b23167b64197a6c71dee76b8ccc62021-02-13T11:45:00ZengÜmit HacıoğluInternational Journal of Research In Business and Social Science2147-44782021-02-0110112213010.20525/ijrbs.v10i1.1007879What is the impact of financial depth on economic growth within middle income countries?Abdulaleem Isiaka0https://orcid.org/0000-0002-6227-6753Abdulqudus Isiaka1Abdulqadir Isiaka2https://orcid.org/0000-0002-9624-985XOmotomiwa Adenubi3https://orcid.org/0000-0002-1415-417XUniversity of ReadingDepartment of Business Administration, Nile University of Nigeria, Abuja, Nigeria.Department of Business Administration, Nile University of Nigeria, Abuja, Nigeria.Department of Economics, University of New England, Armidale 2350, Australia.This paper utilizes the Least Squares Dummy Variables (LSDV) technique in investigating the effect of financial depth on economic growth within a sample of middle-income countries, over the period 2005–2017. The research finds that financial depth has a negative impact on real GDP growth within middle-income countries. This result is robust to the use of alternative measures of financial depth, the use of per capita GDP growth as a proxy for economic growth, the inclusion of dummy variables to control for the 2007–2010 global financial crisis, the exclusion of countries with high average growth as well as across income levels. Based on its findings, this study recommends the need for robust regulations to ensure that the credit facilities of domestic financial institutions are channeled towards productive investments rather than debt servicing.https://www.ssbfnet.com/ojs/index.php/ijrbs/article/view/1007financial deptheconomic growthmiddle-income countrieslsdv |
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DOAJ |
language |
English |
format |
Article |
sources |
DOAJ |
author |
Abdulaleem Isiaka Abdulqudus Isiaka Abdulqadir Isiaka Omotomiwa Adenubi |
spellingShingle |
Abdulaleem Isiaka Abdulqudus Isiaka Abdulqadir Isiaka Omotomiwa Adenubi What is the impact of financial depth on economic growth within middle income countries? International Journal of Research In Business and Social Science financial depth economic growth middle-income countries lsdv |
author_facet |
Abdulaleem Isiaka Abdulqudus Isiaka Abdulqadir Isiaka Omotomiwa Adenubi |
author_sort |
Abdulaleem Isiaka |
title |
What is the impact of financial depth on economic growth within middle income countries? |
title_short |
What is the impact of financial depth on economic growth within middle income countries? |
title_full |
What is the impact of financial depth on economic growth within middle income countries? |
title_fullStr |
What is the impact of financial depth on economic growth within middle income countries? |
title_full_unstemmed |
What is the impact of financial depth on economic growth within middle income countries? |
title_sort |
what is the impact of financial depth on economic growth within middle income countries? |
publisher |
Ümit Hacıoğlu |
series |
International Journal of Research In Business and Social Science |
issn |
2147-4478 |
publishDate |
2021-02-01 |
description |
This paper utilizes the Least Squares Dummy Variables (LSDV) technique in investigating the effect of financial depth on economic growth within a sample of middle-income countries, over the period 2005–2017. The research finds that financial depth has a negative impact on real GDP growth within middle-income countries. This result is robust to the use of alternative measures of financial depth, the use of per capita GDP growth as a proxy for economic growth, the inclusion of dummy variables to control for the 2007–2010 global financial crisis, the exclusion of countries with high average growth as well as across income levels. Based on its findings, this study recommends the need for robust regulations to ensure that the credit facilities of domestic financial institutions are channeled towards productive investments rather than debt servicing. |
topic |
financial depth economic growth middle-income countries lsdv |
url |
https://www.ssbfnet.com/ojs/index.php/ijrbs/article/view/1007 |
work_keys_str_mv |
AT abdulaleemisiaka whatistheimpactoffinancialdepthoneconomicgrowthwithinmiddleincomecountries AT abdulqudusisiaka whatistheimpactoffinancialdepthoneconomicgrowthwithinmiddleincomecountries AT abdulqadirisiaka whatistheimpactoffinancialdepthoneconomicgrowthwithinmiddleincomecountries AT omotomiwaadenubi whatistheimpactoffinancialdepthoneconomicgrowthwithinmiddleincomecountries |
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