05663oam 22014174 450 991095611640332120251116183920.09786613829306978146236999714623699959781452769325145276932X9781283516853128351685397814519083121451908318(CKB)3360000000443856(EBL)3014357(SSID)ssj0001475053(PQKBManifestationID)11825361(PQKBTitleCode)TC0001475053(PQKBWorkID)11472044(PQKB)10943075(OCoLC)698585570(MiAaPQ)EBC3014357(IMF)WPIEE2006035(IMF)WPIEA2006035WPIEA2006035(EXLCZ)99336000000044385620020129d2006 uf 0engurcnu||||||||txtccrDoes Economic Diversification Lead to Financial Development? Evidence From topography /Rodney Ramcharan1st ed.Washington, D.C. :International Monetary Fund,2006.1 online resource (45 p.)IMF Working Papers"January 2006."9781451862959 1451862954 Includes bibliographical references.""Contents""; ""I. INTRODUCTION""; ""II. EMPIRICAL FRAMEWORK AND DATA OVERVIEW""; ""III. MAIN RESULTS""; ""IV. SENSITIVITY ANALYSES""; ""V. DISCUSSION""; ""References""An influential theoretical literature has observed that economic diversification can reduce risk and increase financial development. But causality operates in both directions, as a well functioning financial system can enable a society to invest in more productive but risky projects, thereby determining the degree of economic diversification. Thus, ordinary least squares (OLS) estimates of the impact of economic diversification on financial development are likely to be biased. Motivated by the economic geography literature, this paper uses instruments derived from topographical characteristics to estimate the impact of economic diversification on the development of finance. The fourth estimates suggest a large and robust role for diversification in shaping financial development. And these results imply that, by impeding financial sector development, the concentration of economic activity common in developing countries can adversely affect financial and economic development.IMF Working Papers; Working Paper ;No. 2006/035Economic developmentEconometric modelsFinanceEconometric modelsBank depositsimfBankingimfBanks and BankingimfBanks and bankingimfBanksimfChoice of TechnologyimfDemographic Economics: GeneralimfDemographyimfDepository InstitutionsimfEconomic Development: GeneralimfEconomic growthimfEconomic sectorsimfFinanceimfFinance: GeneralimfFinancial Markets and the MacroeconomyimfFinancial marketsimfFinancial sector developmentimfFinancial services industryimfFinancial servicesimfIndustrializationimfIndustries: ManufacturingimfIndustry Studies: Manufacturing: GeneralimfMacroeconomicsimfManufacturing and Service IndustriesimfManufacturing industriesimfManufacturingimfMicro Finance InstitutionsimfMortgagesimfPopulation & demographyimfPopulation and demographicsimfPopulationimfSouth AfricaimfEconomic developmentEconometric models.FinanceEconometric models.Bank depositsBankingBanks and BankingBanks and bankingBanksChoice of TechnologyDemographic Economics: GeneralDemographyDepository InstitutionsEconomic Development: GeneralEconomic growthEconomic sectorsFinanceFinance: GeneralFinancial Markets and the MacroeconomyFinancial marketsFinancial sector developmentFinancial services industryFinancial servicesIndustrializationIndustries: ManufacturingIndustry Studies: Manufacturing: GeneralMacroeconomicsManufacturing and Service IndustriesManufacturing industriesManufacturingMicro Finance InstitutionsMortgagesPopulation & demographyPopulation and demographicsPopulationRamcharan Rodney1816104International Monetary Fund.Research Department.DcWaIMFBOOK9910956116403321Does Economic Diversification Lead to Financial Development? Evidence From topography4371761UNINA