Microeconomic Elements and Perspectives from Finance Theory



The current trend toward the restructuring of financial systems in many countries makes an evaluation of the economic merits of alternative financial systems timely and important. This chapter examines microeconomic aspects of financial liberalization, paying attention to the range of market and non-market institutions composing the financial system and the impact of financial liberalization on real investment decisions. The discussion is also tied to the liberalization experience of the sample of countries studied in this volume.


Financial Market Systemic Risk Financial Development Security Market Deposit Insurance 
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© International Development Research Centre 1998

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