Toward a Theory of Optimal Financial Structure

Lin, Justin Yifu; Sun, Xifang; Jiang, Ye

dc.creator	Lin, Justin Yifu
dc.creator	Sun, Xifang
dc.creator	Jiang, Ye
dc.date	2012-03-19T19:12:18Z
dc.date	2012-03-19T19:12:18Z
dc.date	2009-09-01
dc.date.accessioned	2023-02-18T19:37:11Z
dc.date.available	2023-02-18T19:37:11Z
dc.identifier	http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20090903162058
dc.identifier	http://hdl.handle.net/10986/4232
dc.identifier.uri	http://localhost:8080/xmlui/handle/CUHPOERS/249732
dc.description	Each institutional arrangement in a financial system has both advantages and disadvantages in mobilizing savings, allocating capital, diversifying risks, and processing information when facilitating financial transactions. Meanwhile, the factor endowment in an economy at each stage of its development determines the optimal industrial structure in the real sector, which in turn constitutes the main determinant of the size distribution and risk features of viable enterprises with implications for the appropriate institutional arrangement of financial services at that stage. Therefore, there is an endogenously determined optimal financial structure for the economy at each stage of development.
dc.language	English
dc.relation	Policy Research working paper ; no. WPS 5038
dc.rights	CC BY 3.0 IGO
dc.rights	http://creativecommons.org/licenses/by/3.0/igo/
dc.rights	World Bank
dc.subject	ACCESS TO BANK
dc.subject	ACCESS TO BANK LOANS
dc.subject	ACCESS TO CREDIT
dc.subject	ACCESS TO SERVICES
dc.subject	ACCOUNTING
dc.subject	ADVANCED ECONOMIES
dc.subject	ADVANCED ECONOMY
dc.subject	AGENCY PROBLEM
dc.subject	AGENCY PROBLEMS
dc.subject	ALTERNATIVE FINANCIAL INSTITUTIONS
dc.subject	AMOUNT OF CAPITAL
dc.subject	AUDITING
dc.subject	AUDITORS
dc.subject	BANK BRANCH
dc.subject	BANK COMPETITION
dc.subject	BANK DEPOSITS
dc.subject	BANK MERGERS
dc.subject	BANK OFFICERS
dc.subject	BANK POLICY
dc.subject	BANKING CONCENTRATION
dc.subject	BANKING INDUSTRY
dc.subject	BANKING SECTOR
dc.subject	BANKING STRUCTURE
dc.subject	BANKING STRUCTURES
dc.subject	BANKING SYSTEM
dc.subject	BANKRUPTCY
dc.subject	BANKS
dc.subject	BARRIER TO ENTRY
dc.subject	BIDS
dc.subject	BIG BANKS
dc.subject	BOND
dc.subject	BOND FINANCING
dc.subject	BOND HOLDERS
dc.subject	BOND ISSUERS
dc.subject	BOND ISSUING
dc.subject	BOND MARKETS
dc.subject	BORROWER
dc.subject	BORROWING
dc.subject	BUSINESS OPERATION
dc.subject	CAPITAL ALLOCATION
dc.subject	CAPITAL COST
dc.subject	CAPITAL MARKETS
dc.subject	CASH FLOWS
dc.subject	COLLATERAL
dc.subject	COMMERCIAL BANK
dc.subject	COMMERCIAL BANKS
dc.subject	COMPETITIVE MARKET
dc.subject	CORPORATE BONDS
dc.subject	CORPORATE FINANCE
dc.subject	CORPORATE GOVERNANCE
dc.subject	CREDIT HISTORY
dc.subject	CREDIT MARKET
dc.subject	CREDIT MARKETS
dc.subject	CREDIT RATIONING
dc.subject	CREDITORS
dc.subject	DEBT
dc.subject	DEBT MARKETS
dc.subject	DEBTS
dc.subject	DEMAND FOR CAPITAL
dc.subject	DEPOSIT
dc.subject	DEPOSIT INSURANCE
dc.subject	DEPOSIT INTEREST
dc.subject	DEPOSITORS
dc.subject	DEPOSITS
dc.subject	DEVELOPING COUNTRIES
dc.subject	ECONOMIC AGENTS
dc.subject	ECONOMIC CONDITIONS
dc.subject	ECONOMIC DEVELOPMENT
dc.subject	ECONOMIC GROWTH
dc.subject	ECONOMIC POLICY
dc.subject	ECONOMIC REFORM
dc.subject	ECONOMICS
dc.subject	ECONOMIES OF SCALE
dc.subject	ECONOMY OF SCALE
dc.subject	ENDOWMENTS
dc.subject	ENTREPRENEUR
dc.subject	ENTREPRENEURSHIP
dc.subject	EQUITIES
dc.subject	EQUITY FINANCING
dc.subject	EXTERNAL FINANCE
dc.subject	EXTERNAL FINANCING
dc.subject	EXTERNAL FUND
dc.subject	FEDERAL RESERVE
dc.subject	FEDERAL RESERVE BANK
dc.subject	FINANCIAL ARRANGEMENT
dc.subject	FINANCIAL CREDIT
dc.subject	FINANCIAL CRISES
dc.subject	FINANCIAL CRISIS
dc.subject	FINANCIAL DEEPENING
dc.subject	FINANCIAL DEVELOPMENT
dc.subject	FINANCIAL ECONOMISTS
dc.subject	FINANCIAL HISTORY
dc.subject	FINANCIAL INFORMATION
dc.subject	FINANCIAL INSTITUTION
dc.subject	FINANCIAL INSTITUTIONS
dc.subject	FINANCIAL INTERMEDIARIES
dc.subject	FINANCIAL INTERMEDIARY
dc.subject	FINANCIAL INTERMEDIATION
dc.subject	FINANCIAL LIBERALIZATION
dc.subject	FINANCIAL MANAGEMENT
dc.subject	FINANCIAL MARKET
dc.subject	FINANCIAL MARKETS
dc.subject	FINANCIAL REGULATIONS
dc.subject	FINANCIAL RESOURCES
dc.subject	FINANCIAL SECTOR
dc.subject	FINANCIAL SERVICES
dc.subject	FINANCIAL STATEMENTS
dc.subject	FINANCIAL STRUCTURE
dc.subject	FINANCIAL STRUCTURES
dc.subject	FINANCIAL STUDIES
dc.subject	FINANCIAL SYSTEM
dc.subject	FINANCIAL SYSTEMS
dc.subject	FINANCIAL TRANSACTIONS
dc.subject	FINANCING COSTS
dc.subject	FINANCING NEEDS
dc.subject	FOREIGN BANK
dc.subject	FOREIGN EXCHANGE
dc.subject	GLOBAL ECONOMY
dc.subject	GOVERNMENT INTERVENTIONS
dc.subject	GOVERNMENT REGULATION
dc.subject	INCOME
dc.subject	INCOME DISTRIBUTION
dc.subject	INEQUALITY
dc.subject	INFORMAL FINANCE
dc.subject	INFORMATION DISCLOSURE
dc.subject	INFORMATIONAL ASYMMETRY
dc.subject	INSURED DEPOSITS
dc.subject	INTEREST RATES
dc.subject	INTERNATIONAL BANK
dc.subject	INTERNATIONAL TRADE
dc.subject	INVESTING
dc.subject	INVESTMENT ALTERNATIVES
dc.subject	INVESTMENT CHOICES
dc.subject	INVESTMENT PORTFOLIO
dc.subject	INVESTMENT PROJECTS
dc.subject	INVESTMENT RISK
dc.subject	IPO
dc.subject	JOB CREATION
dc.subject	LABOR COSTS
dc.subject	LACK OF CAPITAL
dc.subject	LEGAL PROTECTION
dc.subject	LEGAL REQUIREMENTS
dc.subject	LEGAL SYSTEM
dc.subject	LEGAL SYSTEMS
dc.subject	LENDER
dc.subject	LENDERS
dc.subject	LENDING DECISION
dc.subject	LENDING DECISIONS
dc.subject	LIMITED ACCESS
dc.subject	LINES OF CREDIT
dc.subject	LIQUIDATION
dc.subject	LIQUIDITY
dc.subject	LOAN
dc.subject	LOAN CONTRACTS
dc.subject	LOAN DECISIONS
dc.subject	LOAN OBLIGATIONS
dc.subject	LOAN OFFICERS
dc.subject	LOAN SIZE
dc.subject	LOCAL BANK
dc.subject	LOCAL BANKS
dc.subject	LOCAL MARKET
dc.subject	MARKET COMPETITION
dc.subject	MARKET CONDITIONS
dc.subject	MARKET ECONOMY
dc.subject	MARKET LIQUIDITY
dc.subject	MARKET MECHANISM
dc.subject	MARKET PRICES
dc.subject	MARKET SHARE
dc.subject	MARKET STRUCTURE
dc.subject	MARKET VALUE
dc.subject	MARKETING
dc.subject	MARKETING STRATEGIES
dc.subject	MICRO STRUCTURE
dc.subject	MULTINATIONAL
dc.subject	NATURAL RESOURCES
dc.subject	NEW BUSINESS
dc.subject	OIL PRICE
dc.subject	OPEN MARKET
dc.subject	PHYSICAL ASSETS
dc.subject	POLITICAL ECONOMY
dc.subject	PORTFOLIO INVESTMENTS
dc.subject	PRIVATE EQUITY
dc.subject	PRIVATE PROPERTY
dc.subject	PROFITABILITY
dc.subject	PROTECTION OF INVESTORS
dc.subject	REAL SECTOR
dc.subject	REGIONAL BANKS
dc.subject	RENTS
dc.subject	RESOURCE ALLOCATION
dc.subject	RETURN
dc.subject	RETURNS
dc.subject	RETURNS TO BORROWERS
dc.subject	RISK DIVERSIFICATION
dc.subject	RISK MANAGEMENT
dc.subject	RISK MANAGEMENT SERVICES
dc.subject	RISK MANAGEMENT TOOLS
dc.subject	RISK SHARING
dc.subject	SAVINGS
dc.subject	SHAREHOLDER
dc.subject	SHAREHOLDERS
dc.subject	SHORT-TERM FINANCING
dc.subject	SMALL BANK
dc.subject	SMALL BANKS
dc.subject	SMALL BORROWERS
dc.subject	SMALL BUSINESS
dc.subject	SMALL BUSINESS FINANCE
dc.subject	SMALL BUSINESS LENDING
dc.subject	SMALL BUSINESSES
dc.subject	SMALL FIRM FINANCE
dc.subject	SMALL LOANS
dc.subject	SMALLER FIRMS
dc.subject	SOCIAL DEVELOPMENT
dc.subject	START-UPS
dc.subject	STOCK EXCHANGE
dc.subject	STOCK MARKET
dc.subject	STOCK MARKETS
dc.subject	STOCKS
dc.subject	SYSTEMIC RISK
dc.subject	TRANSACTION
dc.subject	TRANSACTION COST
dc.subject	TRANSACTION COSTS
dc.subject	UNEMPLOYMENT
dc.subject	VALUABLE
dc.subject	VENTURE CAPITAL
dc.subject	VENTURE CAPITAL FIRMS
dc.subject	VENTURE CAPITALISTS
dc.title	Toward a Theory of Optimal Financial Structure
dc.type	Publications & Research :: Policy Research Working Paper
dc.coverage	The World Region
dc.coverage	The World Region