dc.contributor.author
Engler, Philipp
dc.contributor.author
Wulff, Alexander
dc.date.accessioned
2018-06-08T08:15:20Z
dc.date.available
2011-09-26T10:17:32.402Z
dc.identifier.uri
https://refubium.fu-berlin.de/handle/fub188/19675
dc.identifier.uri
http://dx.doi.org/10.17169/FUDOCS_document_000000011821
dc.description.abstract
We employ a neoclassical growth model to assess the impact of financial
liberalization in a developing country on capital owners` and workers`
consumption and welfare. We find in a baseline calibration for an average non-
OECD country that capitalists suffer a 42 percent reduction in permanent
consumption because capital inflows reduce their return to capital while
workers gain 8 percent of permanent con- sumption because capital inflows
increase wages. These huge gross impacts contrast with the small positive net
effect found in a neoclas- sical represent agent model by Gourinchas and
Jeanne (2006). We further show that the result for capitalists is insensitive
to enhanced productivity catch-up processes induced by capital inflows. Our
find- ings can help explain why poorer countries tend to be less financially
open as capitalists` losses are largest for countries with the lowest capital
stocks, inducing strong opposition to capital market opening.
de
dc.relation.ispartofseries
urn:nbn:de:kobv:188-fudocsseries000000000315-0
dc.relation.ispartofseries
urn:nbn:de:kobv:188-fudocsseries000000000006-7
dc.rights.uri
http://www.fu-berlin.de/sites/refubium/rechtliches/Nutzungsbedingungen
dc.subject
international financial integration
dc.subject
neoclassical model
dc.subject
heterogenous agents
dc.subject.ddc
300 Sozialwissenschaften::330 Wirtschaft::332 Finanzwirtschaft
dc.subject.ddc
300 Sozialwissenschaften::330 Wirtschaft::337 Weltwirtschaft
dc.title
Opposition to Capital Market opening
refubium.affiliation
Wirtschaftswissenschaft
de
refubium.affiliation.other
Volkswirtschaftslehre
refubium.mycore.fudocsId
FUDOCS_document_000000011821
refubium.series.issueNumber
2011,17 : Economics
refubium.series.name
Diskussionsbeiträge des Fachbereichs Wirtschaftswissenschaft der Freien Universität Berlin
refubium.mycore.derivateId
FUDOCS_derivate_000000001772
dcterms.accessRights.openaire
open access