The Determinants of International Financial Integration

Download or read book The Determinants of International Financial Integration written by Xuan Vinh Vo and published by . This book was released on 2010 with total page 42 pages. Available in PDF, EPUB and Kindle. Book excerpt: It is generally accepted that there has been an increase in the degree of international financial integration over the last two decades. Countries are trying to remove the restrictions on cross-border capital movement, deregulate domestic financial markets and offer competitive investment environments to encourage investment. As a result, international financial integration has been a topical area for many financial economists. However, there is a limited amount of research focusing on the determinants of international financial integration theoretically and empirically. To enrich the literature on this topic, the current paper will empirically investigate the potential drivers of international financial integration including policy on capital controls and other components of financial structure which are the level of economic and educational development, economic growth, the institutional and legal environment, trade openness, financial development and tax policy.