Banking deregulation and innovation

Chava, S and Oettl, A and Subramanian, A and Subramanian, K (2013) Banking deregulation and innovation. Journal of Financial Economics, 109 (3). pp. 759-774.

Full text not available from this repository. (Request a copy)

Abstract

We document empirical support for a key micro-level channel-innovation by young, private firms-through which financial sector deregulation affects economic growth. We find that intrastate banking deregulation, which increased the local market power of banks, decreased the level and risk of innovation by young, private firms. In contrast, interstate banking deregulation, which decreased the local market power of banks, increased the level and risk of innovation by young, private firms. These contrasting effects on innovation also translated into contrasting effects on economic growth. Our study suggests that the nature of financial sector deregulation crucially affects its potential benefits to the real economy. © 2013 Elsevier B.V.

ISB Creators:
ISB CreatorsORCiD
Subramanian, KUNSPECIFIED
Item Type: Article
Uncontrolled Keywords: Banking; Growth; Innovation; Private firms; Young firms
Subjects: Business and Management
Depositing User: Users 13 not found.
Date Deposited: 16 Nov 2014 11:51
Last Modified: 20 Jan 2015 17:51
URI: http://eprints.exchange.isb.edu/id/eprint/285
Publisher URL: http://dx.doi.org/10.1016/j.jfineco.2013.03.015
Publisher OA policy: http://www.sherpa.ac.uk/romeo/issn/0304-405X/
Related URLs:

Actions (login required)

View Item View Item
Statistics for DESI ePrint 285 Statistics for this ePrint Item