Bank-based versus market-based financial systems: A growth-theoretic analysis

• 成果类型: Article
• 署名作者: Chakraborty, S; Ray, T
• 署名单位: University of Oregon; Hong Kong University of Science & Technology; Indian Statistical Institute; Indian Statistical Institute Delhi
• 刊物名称: JOURNAL OF MONETARY ECONOMICS
• ISSN/ISSBN: 0304-3932
• DOI: 10.1016/j.jmoneco.2005.01.003
• 发表日期: 2006
• 页码: 329-350
• 关键词: financial system; Income distribution; banks; market finance

摘要

We study bank-based and market-based financial systems in an endogenous growth model. Lending to firms is fraught with moral hazard as owner-managers may reduce investment profitability to enjoy private benefits. Bank monitoring partially resolves the agency problem, while market-finance is more 'hands-off'. A bank-based or market-based system emerges from firm-financing choices. Neither system is unequivocally better for growth, which crucially depends on the efficiency of financial and legal institutions. But a bank-based system outperforms a market-based one along other dimensions. Investment and per capita income are higher, and income inequality lower, under a bank-based system. Bank-based systems are also more conducive for broad-based industrialization. (c) 2006 Elsevier B.V. All rights reserved.