Corporate Finance and Financial Development: An Emerging Market Perspective on a Post-Crisis World

Description

This book addresses key issues in corporate finance and explores them from financial development and financial stability perspectives in emerging markets. Emerging economies are susceptible to rapidly changing financial sectors and products as well as financial upheavals. In this light, the growing interdependence of states and capital markets, and the risk of crises have an impact on the financing of firms. The chapters in this book highlight how companies and policies in emerging markets are affected and deal with the current post-crisis world. By combining academic and industry insights, the critical issues in corporate finance, financial development, and the preparedness of emerging markets are explored. Preface Contents About the Editors Corporate Finance and Financial Development: An Introduction 1 Financial Intermediaries and Financial Markets 1.1 History of Banking 1.2 History of Stock Markets 1.3 Banking 1.4 Stock Market 2 Financial Development 2.1 Institutional Environment 2.2 Financial Access 2.3 Financial Crisis 3 Conclusion References Entrepreneurs´ Dynamic Capabilities, Financial Resource Development and Financial Performance Among Small and Medium Enterpris... 1 Introduction 2 Theoretical Perspectives 3 Literature Review and Hypothesis Development 3.1 Sensing Capability and Financial Resource Development 3.2 Seizing Capability and Financial Resource Development 3.3 Learning Capability and Financial Resource Development 3.4 Transforming Capability and Financial Resource Development 3.5 Financial Resource Development and Financial Performance 4 Research Methods 4.1 Sample Size and Sampling Procedures 4.2 Data Analysis 4.3 Measurement of Variables 4.4 Descriptive Analysis 4.5 Measurement of Central Tendencies 4.6 Confirmatory Factor Analysis (CFA) 4.7 Model Validity and Reliability 5 Results and Discussion 5.1 Sensing Capability and Financial Resource Development 5.2 Seizing Capability and Financial Resource Development 5.3 Learning Capability and Financial Resource Development 5.4 Transforming Capability and Financial Resource Development 5.5 Financial Resource Development and Financial Performance 5.6 Testing the Strength of Mediator 6 Conclusion 6.1 Study Implications 6.2 Limitations and Areas for Further Studies References Does ICT Diffusion Drive the Finance-Growth Nexus? Evidence from Sub-Saharan Africa 1 Introduction 2 Literature Review 2.1 Theoretical Literature 2.2 Empirical Review 2.2.1 Finance-Growth Nexus 2.2.2 Innovation and the Finance-Growth Nexus 3 Methodology 3.1 Model Specification 4 Results and Data Analysis 4.1 Descriptive Statistics of Variables 4.2 Correlation Matrix 4.3 Panel Unit Root Tests 5 Conclusion and Policy Recommendations References Foreign Direct Investment, Tourism, and Financial Development in Africa 1 Introduction 2 Literature Review 2.1 FDI and Financial Development 2.2 Tourism and Financial Development 3 Methodology and Data 3.1 Methodology 3.2 Data 4 Empirical Findings and Discussion 5 Conclusion and Policy Implications References Effect of Bank Mergers on Cost of Capital: Evidence from India 1 Introduction 2 Background Literature 3 Data and Variables 4 Methodology 4.1 Estimating the Cost of Equity 4.2 Estimating the Cost of Debt 4.3 Estimating the Cost of Capital 4.4 Regression Framework 5 Results 5.1 Univariate Analysis 5.2 Regression Results 5.2.1 Why Is the Cost of Equity Higher for Treated Firms? 6 Conclusion References Does the Effect of Financial Development on Economic Growth Depend on the Real Sector in Sub-Saharan Africa? 1 Introduction 2 Literature Review 3 Methods 3.1 Model Specification 3.2 Data and Variable Description 4 Empirical Results 5 Discussion of Findings 6 Conclusions and Implications of Findings Appendix References Financial Sector Reforms and the Significance to Banking Sector in Tanzania 1 Introduction 2 Financial Sector Reforms 2.1 Banking Sub-sector 2.2 Microfinance Sub-sector 2.3 Insurance Sub-sector 2.4 Social Security Schemes Sub-sector 2.5 Capital Markets Sub-sector 3 Tanzanian Economy 3.1 Tanzanian Financial Sector Assets and GDP 4 The Tanzanian Banking Sectors 4.1 Evolution of the Banking Sector in Tanzania 4.2 Types of Banks in the Banking Sector of Tanzania 4.3 Banking Sector Performance in Tanzania 4.3.1 Capital Adequacy of Tanzanian Banking Sector 4.3.2 Banking Sector Liquidity in Tanzania 4.3.3 Profitability as an Efficient Ratio of Banking Sector in Tanzania 4.3.4 Tanzania Banking Sector Asset Quality 4.4 Conclusion References Causal Relationship Between Financial Development, Economic Growth, and Income Inequality: Panel Data Evidence from Asian and ... 1 Introduction 2 Literature Review 2.1 Financial Development-Income Inequality Nexus 2.2 Economic Growth-Income Inequality Nexus 3 Data and Methods 3.1 Data 3.2 Model Specification 3.3 Method of Estimation 4 Empirical Results 4.1 Descriptive Statistics 4.2 Construction of Financial Development Index 4.3 Cross-Sectional Dependency Results 4.4 Panel Unit Root and Panel Cointegration Test Results 4.5 Fixed Effects Panel Regression Analysis 4.6 Pooled OLS and System GMM Estimation Analysis 4.7 Panel Granger Causality Tests 5 Conclusion and Policy Implications Appendix References Board Diversity and Bank Outcomes in India 1 Introduction 2 Why Diversity Matters? 3 Indian Banking Landscape 4 Data and Variables 4.1 Dependent Variable 4.2 Board Diversity Variable 4.3 Control Variables 5 Methodology 6 Findings 6.1 Univariate Analysis 6.2 Regression Results 7 Conclusion and Discussion Appendix References Dynamics of Industrial Production, Financial Development and Carbon Emission in Nigeria 1 Introduction 2 Theoretical Framework 3 Data Source and Variable Measurement 3.1 Descriptive Statistics of Variables 3.2 Unit Root Test 3.3 Unit Root with Break 4 Model Specification 4.1 Methodology 4.2 Lag Order Selection Criteria 4.3 Cointegration Test 4.4 The Error Correction Term and the Causality Test 5 Results and Discussion 6 Conclusions and Policy Implication Appendix Appendix 1 Appendix 2 References Corporate Finance and Financial Development: A Conclusion References Index