Capital controls, banking competition, and monetary policy.
How do capital controls and banking concentration affect economic development? This paper develops a general equilibrium model to study these important issues. To do so, we construct a framework with heterogeneous agents and imperfectly competitive financial intermediaries who help depositors manage...
| Published in: | Economic Inquiry Vol. 62; no. 3; pp. 1369 - 1400 |
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| Main Authors: | , , |
| Format: | Article |
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Wiley-Blackwell
Jul2024
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| Subjects: | |
| Online Access: | View this record in EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=178020548&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 178020548 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00952583 EIQ jtl: Economic Inquiry issn: 00952583 maglogo: Y pubinfo: dt: Jul2024 vid: 62 iid: 3 pid: 480 pub: Wiley-Blackwell artinfo: ui: 178020548 10.1111/ecin.13205 ppf: 1369 ppct: 31 formats: fmt: – @attributes: type: T – @attributes: type: C – @attributes: type: P size: 843KB tig: atl: Capital controls, banking competition, and monetary policy. aug: au: Ghossoub, Edgar A. Harrison, Andre Reed, Robert R. affil: Department of Economics, Carlos Alvarez College of Business, University of Texas at San Antonio, San Antonio Texas,, USA Department of Economics, College of Liberal Arts, California State University, Long Beach California,, USA Department of Economics, Finance and Legal Studies, Culverhouse College of Business, University of Alabama, Tuscaloosa Alabama,, USA su: Banking industry International markets Capital controls Monetary policy Financial institutions sug: subj: Banking industry International markets Commercial Banking Personal and commercial banking industry Savings Institutions Other Depository Credit Intermediation Consumer Lending Capital controls Monetary policy Financial institutions keyword: banking concentration capital controls economic development liquidity risk monetary policy banking concentration capital controls economic development liquidity risk monetary policy ab: How do capital controls and banking concentration affect economic development? This paper develops a general equilibrium model to study these important issues. To do so, we construct a framework with heterogeneous agents and imperfectly competitive financial intermediaries who help depositors manage liquidity risk. Importantly, higher levels of concentration raise the cost of domestic borrowing which increase the reliance on international capital markets. Finally, once the rate of money growth is sufficiently high, capital controls bind and the effects of monetary policy on capital formation are more pronounced. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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