Abstract
Equity markets have slowly evolved over the years, and are now becoming a mainstay of the modern financial landscape. This chapter explores how the stock market has played a role in the economic development of the world. The stock market by its nature provides some advantages and some disadvantages to economic managers. With the notion of risk sharing creeping into most economic debates, the stock market offers governments a risk sharing mechanism to solve the crippling debt problems of the world. This chapter also goes one step further to propose some measures that the stock market can take to support governments in managing their finances.
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Rizvi, S.A.R., Bacha, O.I., Mirakhor, A. (2016). Government Finance and the Equity Market. In: Public Finance and Islamic Capital Markets. Palgrave Studies in Islamic Banking, Finance, and Economics. Palgrave Macmillan, New York. https://doi.org/10.1057/978-1-137-55342-3_6
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DOI: https://doi.org/10.1057/978-1-137-55342-3_6
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