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Patience and financial development

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  • Gur, Nurullah

Abstract

Norms, behaviors, beliefs, and preferences have been accepted as some of the most important determinants of financial development. In this paper, as a contribution to the literature, we ask whether patience plays a role in promoting financial development. Our cross-country empirical results show that patience is positively and significantly associated with financial development. Our results are quite robust for stock market development. However, the effect of patience on banking sector development loses its significance once the quality of institutions is controlled. Our results imply that patience has more direct and decisive effects on stock market development.

Suggested Citation

  • Gur, Nurullah, 2022. "Patience and financial development," Finance Research Letters, Elsevier, vol. 44(C).
    • Handle: RePEc:eee:finlet:v:44:y:2022:i:c:s1544612321001264
    DOI: 10.1016/j.frl.2021.102045
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    References listed on IDEAS

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    Cited by:

    1. Yuan Zhu & Bingyue Wan & Lixin Tian, 2022. "Protection of Intellectual Property Rights, Financial Development and Green Low-Carbon Endogenous Economic Growth," Sustainability, MDPI, vol. 14(20), pages 1-20, October.

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    More about this item

    Keywords

    Patience; Financial development; Banking; Stock market;
    All these keywords.

    JEL classification:

    • G10 - Financial Economics - - General Financial Markets - - - General (includes Measurement and Data)
    • N20 - Economic History - - Financial Markets and Institutions - - - General, International, or Comparative
    • O50 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - General
    • Z10 - Other Special Topics - - Cultural Economics - - - General

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