Title:
Finance-growth nexus in sub-Saharan Africa
Authors:
Celsa M.D.C. Machado, António F.M.G. Saraiva, Paulo D.D. Vieira
Published:
South African Journal of Economic and Management Sciences, Volume 24, Number 1, 19 February 2021
From the abstract:
Background: There is now significant empirical literature suggesting that finance is good for growth only up to a threshold level of financial development, becoming harmful after that level, in developed and developing countries.
Aim: This study extends this literature that investigates non-linearities on the finance-growth link, by testing the inverted U-shape hypothesis in sub-Saharan African countries, which are among the least developed ones.
Setting: 36 countries from sub-Saharan Africa over the period 1980–2015.