Article
Version 1
Preserved in Portico This version is not peer-reviewed
Does financial liberalization affect negatively emerging stock market stability?
Version 1
: Received: 17 July 2016 / Approved: 18 July 2016 / Online: 18 July 2016 (10:52:35 CEST)
How to cite: TRABELSI MNIF, A. Does financial liberalization affect negatively emerging stock market stability?. Preprints 2016, 2016070053. https://doi.org/10.20944/preprints201607.0053.v1 TRABELSI MNIF, A. Does financial liberalization affect negatively emerging stock market stability?. Preprints 2016, 2016070053. https://doi.org/10.20944/preprints201607.0053.v1
Abstract
In this paper, we focus on the impact of financial liberalization on stability of emerging stock market. We identify crises in a group of Latin American (Argentina, Brazil and Chile) and Asian countries (Philippines, Korea, Taiwan and Thailand) during 1975–2005. This paper aims to apply the methodology of CMAX method. Our results indicate that liberalization triggers more unstable stock market in the short run and generate several crises. Still, liberalization seems to generate more stable financial markets in the long run. Financial liberalization does not increase the frequency of crises in emerging countries and at long-term, crises are less several.
Keywords
emerging stock market, financial liberalization, Crisis, Cmax method
Subject
Business, Economics and Management, Finance
Copyright: This is an open access article distributed under the Creative Commons Attribution License which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.
Comments (0)
We encourage comments and feedback from a broad range of readers. See criteria for comments and our Diversity statement.
Leave a public commentSend a private comment to the author(s)
* All users must log in before leaving a comment