Rynek akcji a wzrost gospodarczy – analiza przekrojowa
Stock Market and Economic Growth: A Cross-Country Study

Summary/Abstract: The article deals with the mutual dependence between the development of the capital market and the development of the real sphere of the economy. The first part of the paper includes a comprehensive review of the theoretical and empirical literature on the subject. The second part brings an empirical examination of the statistical dependence between the size and growth of the stock market (measured by its capitalization) and the size and growth of the economy (measured by the value of GDP). The analysis is based on yearly data for 65 countries for the period of 1995–2010. Both a cross-section study of the stock and output volumes and a dynamic examination of the growth rates of the stock market and total output shows a close correlation between the development of the capital market and the development of the economy. Even if this relationship is presumably mutual, the results of the examination bring an additional evidence of the impact of capital market developments on the level of economic activity and economic growth.

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