Explaining the Effect of Financial Development on the Quality of Property Rights

Explaining the Effect of Financial Development on the Quality of Property Rights
Author: Chandramouli Banerjee
Publisher:
Total Pages: 26
Release: 2017
Genre:
ISBN:

Recent empirical evidence suggests that financial development can catalyze property rights reforms, and for such effect to materialize financial development must cross a threshold. This paper offers a theory of financial markets to explain both stylized facts defining the relationship. The explanation is based on a simple trade-off between the costs and the benefits of securing property. Securing the right to property at a cost allows agents to post collateral against loans. However, the benefits of collateral vary according to the existing credit market conditions. We include this information in the trade-off between the costs and the benefits of securing property rights along the path of financial development to explain the conditions under which financial development can create incentives for better property rights institutions.

Handbook of Development Economics

Handbook of Development Economics
Author: Dani Rodrick
Publisher: Elsevier
Total Pages: 1066
Release: 2009-11-09
Genre: Business & Economics
ISBN: 0080931723

What guidance does academic research really provide to economic policy development? The critical and analytical surveys in this volume investigate links between policies and outcomes by surveying work from broad macroeconomic policies to interventions in microfinance. Asserting that there are no universal correspondences between policies and outcomes, contributors demonstrate instead that only an intense familiarity with the development context and the universe of applicable economic models can generate successful policies. Getting cause-and-effect right is essential for policy design and implementation. With the goal of drawing researchers and policy makers closer, this volume highlights our increasing understanding of ways to combine economic theorizing with careful, thoughtful empirical work. Presents an accurate, self-contained survey of the current state of the field Summarizes the most recent discussions, and elucidates new developments Although original material is also included, the main aim is the provision of comprehensive and accessible surveys

Financial Development, Property Rights, and Growth

Financial Development, Property Rights, and Growth
Author: Stijn Claessens
Publisher:
Total Pages:
Release: 2004
Genre:
ISBN:

In countries with more secure property rights, firms might allocate resources better and consequentially grow faster as the returns on different types of assets are more protected against competitors' actions. Using data on sectoral value added for a large number of countries, we find evidence consistent with better property rights leading to higher growth through improved asset allocation. Quantitatively, the growth effect is as large as that of improved access to financing due to greater financial development. Our results are robust using various samples and specifications, including controlling for growth opportunities.

Legal Institutions and Financial Development

Legal Institutions and Financial Development
Author: Thorsten Beck
Publisher: World Bank Publications
Total Pages: 41
Release: 2003
Genre: Banks and banking
ISBN:

"Why do some countries have growth-enhancing financial systems, while others do not? Why have some countries developed the necessary investor protection laws and contract-enforcement mechanisms to support financial institutions and markets, while others have not? This paper reviews existing research on the role of legal institutions in shaping financial development"--National Bureau of Economic Research web site

Power, Property Rights, and Economic Development

Power, Property Rights, and Economic Development
Author: Mohammad Dulal Miah
Publisher: Springer
Total Pages: 213
Release: 2018-11-19
Genre: Law
ISBN: 9811327637

This book presents a critical reassessment of theories of property rights, in response to conflicts and competition between different groups, and the state. It does so by taking an institutional political perspective to analyse the structures of property rights, with a focus on a series of case studies from Bangladesh. In doing so, the book highlights the importance of property rights for economic growth, why developing countries often fail to design property rights conducive for economic development, and the strategies required for designing an efficient structure of rights. Since property rights falls within the domain of Law and Economics, the book ventures to explain legal issues from an economic perspective, resulting in empirical analysis that comprises both legal and non-legal cases.

The Origins and Consequences of Property Rights

The Origins and Consequences of Property Rights
Author: Colin Harris
Publisher: Cambridge University Press
Total Pages: 188
Release: 2020-12-24
Genre: Business & Economics
ISBN: 1108981437

Property rights are the rules governing ownership in society. This Element offers an analytical framework to understand the origins and consequences of property rights. It conceptualizes of the political economy of property rights as a concern with the follow questions: What explains the origins of economic and legal property rights? What are the consequences of different property rights institutions for wealth creation, conservation, and political order? Why do property institutions change? Why do legal reforms relating to property rights such as land redistribution and legal titling improve livelihoods in some contexts but not others? In analyzing property rights, the authors emphasize the complementarity of insights from a diversity of disciplinary perspectives, including Austrian economics, public choice, and institutional economics, including the Bloomington School of institutional analysis and political economy.

Property Rights in Land

Property Rights in Land
Author: Rosa Congost
Publisher: Routledge
Total Pages: 247
Release: 2016-10-04
Genre: Business & Economics
ISBN: 1315439948

Property Rights in Land widens our understanding of property rights by looking through the lenses of social history and sociology, discussing mainstream theory of new institutional economics and the derived grand narrative of economic development. As neo-institutional development theory has become a narrative in global history and political economy, the problem of promoting global development has arisen from creating the conditions for ‘good’ institutions to take root in the global economy and in developing societies. Written by a collection of expert authors, the chapters delve into social processes through which property relations became institutionalized and were used in social action for the appropriation of resources and rent. This was in order to gain a better understanding of the social processes intervening between the institutionalized ‘rules of the game’ and their economic and social outcomes. This collection of essays is of great interest to those who study economic history, historical sociology and economic sociology, as well as Agrarian and rural history.