Do debt crises boost financial reforms?

Authors :: João Tovar Jalles
Ricardo M. Sousa
Vitor Castro
Luca Agnello
Universidade do Minho
Agnello, L
Castro, V
Jalles, J
Sousa, R
Source :: Repositório Científico de Acesso Aberto de Portugal, Repositório Científico de Acesso Aberto de Portugal (RCAAP), instacron:RCAAP
Publication Year :: 2014
Publisher :: Informa UK Limited, 2014.
Abstract: "Published online: 15 Aug. 2014"<br />Using a panel of developed and developing countries and data for the period 1980 to 2005, we find that debt crises trigger financial reforms.We also show that (i) when general economic conditions deteriorate, financial reforms become more likely to take place; (ii) IMF-stabilization programmes and sovereign debt restructurings favour the implementation of financial reforms; and (iii) the quality of economic institutions strongly boosts financial reforms.<br />COMPETE, QREN, FEDER, Fundação para a Ciência e a Tecnologia (FCT)