On the gains from international financial integration

Journal article

Mark L. J. Wright
Economics Letters, vol. 87(3), 2005, pp. 379-386

DOI: 10.1016/j.econlet.2005.01.007

Cite

APA Click to copy
Wright, M. L. J. (2005). On the gains from international financial integration. Economics Letters, 87(3), 379–386. https://doi.org/10.1016/j.econlet.2005.01.007

Chicago/Turabian Click to copy
Wright, Mark L. J. “On the Gains from International Financial Integration.” Economics Letters 87, no. 3 (2005): 379–386.

MLA Click to copy
Wright, Mark L. J. “On the Gains from International Financial Integration.” Economics Letters, vol. 87, no. 3, 2005, pp. 379–86, doi:10.1016/j.econlet.2005.01.007.

BibTeX Click to copy

@article{mark2005a,
  title = {On the gains from international financial integration},
  year = {2005},
  issue = {3},
  journal = {Economics Letters},
  pages = {379-386},
  volume = {87},
  doi = {10.1016/j.econlet.2005.01.007},
  author = {Wright, Mark L. J.}
}

Abstract

Are there large unexploited gains from international financial integration? Why do they remain unexploited? This paper shows that when market incompleteness leads foreigners and residents to value firms differently, multiple equilibria arise where domestic residents purchase very inefficient domestic firms.

Keywords: International risk sharing; Incomplete markets; Welfare gains

JEL classification: F30; F41