Economic and Financial Integration of CEECs: The Impact of Financial Instability
Claudiu Albulescu ()
Czech Economic Review, 2011, vol. 5, issue 1, 027-045
The recent financial crisis had a powerful impact upon the European countries' economies, in particular on those from Central and Eastern Europe, with some small exceptions. Thus, applying a panel data approach for a large sample of CEECs, we demonstrate that financial instability negatively influences these countries economic and financial integration. If instability is measured by means of a financial instability index, we have used two classical indicators for the economic integration, namely trade openness and trade intensity index. Indicators such as the interest rates co-movement and the asset share of foreign-owned banks were chosen to calculate financial integration. We highlight the fact that the crisis events hinder the process of CEECs' integration into the EU, deepening the economic gaps between more and less developed EU members.
Keywords: Financial instability; financial instability index; economic and financial integration; Central and Eastern Europe (search for similar items in EconPapers)
JEL-codes: C33 F15 F36 G01 (search for similar items in EconPapers)
References: View references in EconPapers View complete reference list from CitEc
Citations View citations in EconPapers (4) Track citations by RSS feed
Downloads: (external link)
This item may be available elsewhere in EconPapers: Search for items with the same title.
Export reference: BibTeX
RIS (EndNote, ProCite, RefMan)
Persistent link: https://EconPapers.repec.org/RePEc:fau:aucocz:au2011_027
Ordering information: This journal article can be ordered from
Access Statistics for this article
More articles in Czech Economic Review from Charles University Prague, Faculty of Social Sciences, Institute of Economic Studies Contact information at EDIRC.
Series data maintained by Lenka Stastna ().