@workingpaper{Asongu2011b,
title = {Why do French civil-law countries have higher levels of financial efficiency?},
author = {Simplice A. Asongu },
editor = {2011 African Governance and Development Institute WP/11/011
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Why-do-french-civil-law-countries-have-higher-levels-of-financial-efficiency.pdf},
year = {2011},
date = {2011-10-01},
abstract = {The dominance of English common-law countries in prospects for financial development
in the legal-origins debate has been debunked by recent findings. Using exchange rate regimes
and economic/monetary integration oriented hypotheses, this paper proposes an “inflation
uncertainty theory” in providing theoretical justification and empirical validity as to why French
civil-law countries have higher levels of financial allocation efficiency. Inflation uncertainty,
typical of floating exchange rate regimes accounts for the allocation inefficiency of financial
intermediary institutions in English common-law countries. As a policy implication, results
support the benefits of fixed exchange rate regimes in financial intermediary allocation
efficiency.},
keywords = {Banking; allocation efficiency; exchange rate; inflation; economic integration},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Financial Determinants of Human Development in Developing Countries},
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/012
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Financial-determinants-of-human-development-in-Africa.pdf},
year = {2011},
date = {2011-10-01},
abstract = {Hitherto financial drivers of human development have been unexplored by the UNDP.
This paper assesses determinants of human development from financial dynamics of depth,
efficiency, size and activity on data from 38 developing countries. While the importance of
financial activity, size and depth (in decreasing order) is significant for inequality adjusted
human development, financial allocation efficiency significantly undermines welfare. As a
policy implication results do not support financial allocation efficiency as a driver of human
development.},
keywords = {Banking; human development; developing countries; instrumental variables},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Globalization, Financial Development and Regional Economic Dynamics: asymmetric panel evidence from Africa},
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/008
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Globalization,-Financial-Development-and-Regional-Economic-Dynamics.-Asymmetric-panel-evidence-from-Africa.pdf},
year = {2011},
date = {2011-09-01},
abstract = {This paper examines how regionalization in the face of globalization has affected financial
development in the context of banking system efficiency in Africa. Results which are robust to
financial system efficiency and growth-led-finance nexus reveal that in the post-regionalization
era: (1) UEMOA and CEMAC regional banks’ ability to finance credit by deposits has reduced;
(2) financial institutions of COMESA have improved their capacity to fund openness related
activities/projects with deposits; (3) increase in welfare has positively affected the intermediary
role of banks; (4) globalization tends to be more detrimental to financial systems of ‘economic and
monetary’ regions than to those of purely economic regions. As a policy implication, national and
regional authorities should gain knowledge of the fact that with openness, the role of domestic and
regional banks seems to lessen in the funding of openness related activities and projects. Much
needs to be done on the improvement of infrastructure that curtails information asymmetry in the
banking industry.},
keywords = {Globalization; Financial Development; Regional Integration; Panel; Africa},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Law and Finance in Africa},
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/009},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Law-and-finance-Africa.pdf},
year = {2011},
date = {2011-09-01},
abstract = {This paper assesses how legal origin influences financial development through regulation
quality and the rule of law. It employs all the dimensions identified by the Financial
Development and Structure Database of the World Bank. The law channels are instrumented
with legal origins to account for financial intermediary dynamics of depth, efficiency, activity
and size. The results broadly support the benefits of law mechanisms in financial development.
The findings only show partial support for the consensus that English common law countries
provide better conditions for financial development. While they dominate in dynamics of depth,
activity and size, French civil law countries have an edge in financial allocation efficiency.
Portuguese civil law countries broadly fall in-between. With the exception of financial
efficiency, French civil law sub-Saharan African (SSA) countries are least while North African
countries dominate even English common law countries in financial intermediary aspects of
depth and activity. French SSA countries dominate overall in allocation efficiency.},
keywords = {Law; Finance; Banks; Africa},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Law, finance, economic growth and welfare: why does legal origin matter? },
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/007
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Law-finance-economic-growth-and-welfare.-Why-does-legal-origin-matter.pdf},
year = {2011},
date = {2011-08-01},
abstract = {This paper proposes and empirically validates four theories of why legal origin influences
growth and welfare through finance. It is a natural extension of “Law and finance: why does
legal origin matter?” by Thorsten Beck, Asli Demirgüç-Kunt and Ross Levine (2003). We find
only partial support for the Mundell (1972), La Porta et al. (1998) and Beck et al. (2003)
hypotheses that English common-law countries tend to have better developed financial
intermediaries than French civil-law countries. While countries with English legal tradition have
legal systems that improve financial depth, activity and size, countries with French legal origin
overwhelmingly dominate in financial intermediary allocation efficiency. Countries with
Portuguese legal origin fall in-between.},
keywords = {Law; Financial development; Growth; Welfare},
pubstate = {published},
tppubtype = {workingpaper}
}

@article{Asongu,2011,
title = {Political Crises and Risk of Financial Contagion in Developing Countries: Evidence from Africa},
author = {Simplice A. Asongu },
year = {2011},
date = {2011-06-01},
journal = {Journal of Economics and International Finance,},
volume = {3},
number = {7},
pages = {462-467},
abstract = {The recent waves of political crises in Africa and the Middle East have inspired the debate over how political instability could pose a risk of financial contagion to emerging countries. With retrospect to the Kenyan political crisis, our findings suggest stock markets in Lebanon, Mauritius were contaminated while Nigeria experienced a positive spillover. Our results have two major implications. Firstly, we have confirmed existing consensus that African financial markets are increasingly integrated. Secondly, we have also shown that international financial market transmissions not only occur during financial crisis; political crises effects should not be undermined.},
keywords = {Political crisis; Contagion; Developing countries; Equity Markets},
pubstate = {published},
tppubtype = {article}
}

@workingpaper{Asongu2011b,
title = {New financial intermediary development indicators for developing countries},
author = {Simplice A. Asongu },
editor = {2011 African Governance and Development Institute WP/11/005
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/New-financial-development-indicators-for-developing-countries.pdf},
year = {2011},
date = {2011-05-01},
abstract = {Financial development indicators are often applied to countries/regions without taking
into account specific financial development realities. Financial depth in the perspective of
monetary base is not equal to liquid liabilities in every development context. This paper
introduces complementary indicators to the existing Financial Development and Structure
Database (FDSD) and unites two streams of research. It contributes at the same time to the
macroeconomic literature on measuring financial development and responds to the growing
field of economic development by means of informal financial sector promotion and
microfinance. The paper suggests a practicable way to disentangle the effects of the various
financial sectors on economic developments.
},
keywords = {Developing countries, Finance; Development; Formalization, panel},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {The 2011 Japanese earthquake, tsunami and nuclear crisis: evidence of contagion from international financial markets},
author = {Simplice A. Asongu },
editor = {2011 African Governance and Development Institute WP/11/006
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/The-Japanese-earthquake-tsunami-and-nuclear-crisis.-Evidence-of-contagion-from-international-financial-markets.pdf},
year = {2011},
date = {2011-05-01},
abstract = {Purpose – Natural disasters may inflict significant damage upon international financial markets.
The purpose of this study is to investigate if any contagion effect occurred in the immediate
aftermath of the Japanese earthquake, tsunami and subsequent nuclear crisis.
Design/methodology/approach – Using 33 international stock indices and exchange rates, this
paper uses heteroscedasticity biases based on correlation coefficients to examine if any
contagion occurred across financial markets after the March 11, 2011 Japanese earthquake,
tsunami and nuclear crisis. The sample period is partitioned into two sections: the 12-month preearthquake
period (March 11, 2010 to March 10, 2011) and the 2-month post-earthquake period
(March 11, 2011 to May 10, 2011). While the stability period is defined as the pre-earthquake
period, the turbulent (turmoil) period is defined as the post-earthquake period. In a bid to ensure
robustness of our findings, the turmoil period is further partitioned into two equal sections: the 1-
month (short-term) post-earthquake period (March 11, 2011 to April 10, 2011), and the 2-month
(medium-term) post-earthquake (March 11, 2011 to May 10, 2011).
Findings – Findings reveal that, while no sampled foreign exchange markets suffered from
contagion, stock markets of Taiwan, Bahrain, Saudi Arabia and South Africa witnessed a
contagion effect.
Practical implications – Our results have two paramount implications. Firstly, we have
confirmed existing consensus that in the face of natural crises that could take an international
scale, emerging markets are contagiously affected for the most part. Secondly, the empirical
evidence also suggest that international financial market transmissions not only occur during
financial crisis; natural disaster effects should not be undermined.
Originality/value – This paper has shown that the correlation structure of international financial
markets are also affected by high profile natural disasters.},
keywords = {Japanese Earthquake; Contagion; International Financial Markets},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Political Crises and Risk of Financial Contagion in Developing Countries: Evidence from Africa},
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/003
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Political-crises-in-Africa-and-risk-of-financial-contagion.pdf},
year = {2011},
date = {2011-04-01},
abstract = {The recent waves of political crises in Africa and the Middle East have inspired the debate
over how political instability could pose a risk of financial contagion to emerging countries.
With retrospect to the Kenyan political crisis, our findings suggest stock markets in Lebanon,
Mauritius were contaminated while Nigeria experienced a positive spillover. Our results have
two major implications. Firstly, we have confirmed existing consensus that African financial
markets are increasingly integrated. Secondly, we have also shown that international financial
market transmissions not only occur during financial crisis; political crises effects should not
be undermined.},
keywords = {Political crisis; Contagion; Developing countries; Equity Markets},
pubstate = {published},
tppubtype = {workingpaper}
}

@workingpaper{Asongu2011b,
title = {Globalization, financial crisis and contagion: time-dynamic evidence from financial markets of developing countries },
author = {Simplice A. Asongu },
editor = { 2011 African Governance and Development Institute WP/11/004
},
url = {http://www.afridev.org/RePEc/agd/agd-wpaper/Globalisation-financial-crisis-and-contagion.-Time-dynamic-evidence-from-financial-markets-of-developing-countries.pdf},
year = {2011},
date = {2011-04-01},
abstract = {Financial integration among economies has the benefit of improving allocation
efficiency and diversifying risk. However the recent global financial crisis, considered as
the worst since the Great Depression has re-ignited the fierce debate about the merits of
financial globalization and its implications for growth especially in developing countries.
This paper examines whether equity markets in emerging countries were vulnerable to
contagion during the recent financial meltdown. Findings show: (1) with the exceptions of
India and Dhaka, Asian markets were worst hit; (2) but for Peru, Venezuela and
Columbia, Latin American countries were least affected; (3) Africa and Middle East
emerging markets were averagely contaminated with the exceptions of Kenya, Namibia,
Nigeria, Morocco, Dubai, Jordan, Israel, Oman, Saudi Arabia and Lebanon. Results
have two important policy implications. Firstly, we confirm that Latin America was most
prepared to brace the financial crisis, implying their fiscal and monetary policies are
desirous of examination and imitation. Secondly, we have confirmed that strategic
opening of the current and capital accounts based on empirical evidence for a given
region/country as practiced by India is a caution against global economic and financial
shocks.},
keywords = {Globalization; Financial crisis; Contagion; developing countries; Equity Markets},
pubstate = {published},
tppubtype = {workingpaper}
}