Domestic financial reforms and crisis recoveries

Yanke Dai, Shu Lin and Hanbo Zou

International Journal of Finance & Economics, 2020, vol. 25, issue 2, 248-260

Abstract: We examine empirically whether domestic financial reforms lead to faster recoveries from financial crises. Using a duration analysis approach and financial reform indicators from Abiad, Detragiache, and Tressel (2010), we find robust evidence that a higher overall level of domestic financial liberalization is associated with a significantly shorter duration of recovery. This effect exists in both the downturn and upturn stages of a crisis but matters only for developing countries. We also check the effect of each individual dimension of domestic financial reforms and find they all contribute to significant faster crisis recoveries except for privatization of the banking sector.

Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
https://doi.org/10.1002/ijfe.1749

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:wly:ijfiec:v:25:y:2020:i:2:p:248-260

Ordering information: This journal article can be ordered from
http://jws-edcv.wile ... PRINT_ISSN=1076-9307

Access Statistics for this article

International Journal of Finance & Economics is currently edited by Mark P. Taylor, Keith Cuthbertson and Michael P. Dooley

More articles in International Journal of Finance & Economics from John Wiley & Sons, Ltd.
Bibliographic data for series maintained by Wiley Content Delivery ().