A production function approach for analyzing the finance-growth nexus: The evidence from taiwan

@inproceedings{Wang1999APF,
  title={A production function approach for analyzing the finance-growth nexus: The evidence from taiwan},
  author={Eric C. Wang},
  year={1999}
}
Abstract This paper proposes a framework for analyzing the nexus between financial development and economic growth in terms of spillover effects. It is based on the production function theory and consists of two versions of the two-sector model. The framework is applied as a prototype to the case of Taiwan’s use of deflated annual data for 1961–1995. The empirical results show that the spillover effects of the financial-leading version dominate those of the real-fostering version in the case… CONTINUE READING