eprintid: 29188 rev_number: 123 eprint_status: archive userid: 1414 dir: disk0/00/02/91/88 datestamp: 2011-03-01 20:12:51 lastmod: 2019-09-26 10:10:54 status_changed: 2011-03-01 20:12:51 type: paper succeeds: 4714 metadata_visibility: show abstract: Previous research has established (i) that a country’s financial sector influence future economic growth and (ii) that stock market index returns affect future economic growth. We extend and tie together these two strands of the growth literature by analyzing the relationship between banking industry stock returns and future economic growth. Using dynamic panel techniques to analyze panel data from 18 developed and 18 emerging markets, we find a positive and significant relationship between bank stock returns and future GDP growth that is independent of the previously documented relationship between market index returns and economic growth. We also find that much of the informational content of bank stock returns is captured by country-specific and institutional characteristics, such as bank-accounting-disclosure standards, banking crises, enforcement of insider trading law and government ownership of banks. copyrightnote: I own the coopyright and have the right to deposit the contribution with MPRA. creators_name: Cole, Rebel creators_name: Moshirian, Fari creators_name: Wu, Qionbing creators_id: rcole@depaul.edu creators_id: f.moshirian@unsw.edu.au creators_id: linda.wu@newcastle.edu.au date: 2007-08-01 date_issue: 2007-08-01 date_pub: 2008-06 file_format: pdf file_url: http://mpra.ub.uni-muenchen.de/4714/01/MPRA_paper_4714.pdf full_text_status: public identifierabstract: http://mpra.ub.uni-muenchen.de/29188/ issue: 32 ispublished: pub journal: Journal of Banking and Finance keywords: Banks; Economic Growth; Emerging Markets; Financial Development language: en pagerange: 995-1007 pages: 33 referencetext: Ahn, S., Schmidt, P., 1995. 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Carnegie-Rochester Conference Series on Public Policy 54, 73–83. subjects: G15 subjects: G21 subjects: O11 subjects: G14 subjects: O43 title: Bank stock returns and economic growth volume: 6 citation: Cole, Rebel and Moshirian, Fari and Wu, Qionbing (2007): Bank stock returns and economic growth. Published in: Journal of Banking and Finance , Vol. 6, No. 32 (June 2008): pp. 995-1007. document_url: https://mpra.ub.uni-muenchen.de/29188/1/MPRA_paper_29188.pdf