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In these studies on financial development, did they adjust for other factors increasing growth. Labour force expansion and other low hanging fruits. Might be that the added growth due to financial development might have been part of the bubble side of the wealth creation. I think these are valid questions. Did the studies control for those factors or did they jump to their preferred conclusion?
I can understand that banks can bridge the gap, but we know that this was always just one part of a bank's strategy, nowadays even more so than before the crisis.