| dc.description.abstract | In this paper we show the results of an investigation concerning the relationship
between the financial system and economic growth in Mexico. Specifically we
evaluate the hypothesis that agents in financial markets promote productive
activity, the existence of causality between supply and demand of the financial
system and economic growth.
For this assessment, as theoretical reference, is made a tour on the
conceptualization of economic growth, considering the most relevant theories
about it. Just as we consider the structure and importance of a financial system
and its links and impact on economic growth.
It is part of an endogenous growth model, using an AK production function,
incorporating a parameter of financial intermediation in order to identify the
effects on growth from the financial sector. From this analytical framework, the
research hypothesis is tested empirically through an econometric analysis,
under the method of least squares time series.
Finally the results obtained it follows that the contribution of financial
development to economic growth is considerable, but is not guaranteed, but it
depends on an appropriate institutional structure. As indicators of financial
development considered, are not associated with higher rates of economic
growth, financial intermediaries fail to remove the information and transaction
costs associated with the mediation process, if not to the contrary, growth is
economical to boost the financial system. It can be said that institutional
variables are crucial type of financial development as a factor. | |
