Büyükkarabacak, BerrakBeck, ThorstenRioja, FelixValev, Neven2012-06-012012-06-012008-07https://hdl.handle.net/10986/6855While the theoretical and empirical finance literature has focused almost exclusively on enterprise credit, about half of credit extended by banks to the private sector in a sample of 45 developing and developed countries is to households. The share of household credit in total credit increases as countries grow richer and financial systems develop. Cross-country regressions, however, suggest a positive and significant impact on gross domestic product per capita growth only of enterprise but not household credit. These two findings together partly explain why previous studies have found a small or insignificant effect of finance on growth in high-income countries. In addition, countries with a lower share of manufacturing, a higher degree of urbanization, and more market-oriented financial systems have a higher share of household credit. It is thus mostly socio-economic trends that determine credit composition, while policies influencing banking market structure and regulatory policies are not robustly related to credit composition.CC BY 3.0 IGOACCESS TO CREDITACCOUNTABILITYAGRICULTUREASSET ALLOCATIONAVERAGE COSTSBANK ACCESSBANK COMPETITIONBANK CREDITBANK LENDINGBANK LOANSBANKING CRISISBANKING MARKETBANKING SECTORBANKING SECTOR DEVELOPMENTBANKING SECTORSBANKING SERVICESBANKING SYSTEMBANKING SYSTEMSBANKRUPTCYBANKSBIASESBORROWERBORROWINGBUSINESS CREDITBUSINESS CYCLEBUSINESS LOANSCALCULATIONSCAPITAL ACCUMULATIONCAPITAL MARKETCAPITAL MARKETSCENTRAL BANKCOLLATERALCOMMERCIAL BANKCOMMERCIAL BANKSCOMMERCIAL LENDINGCOMMON LAWCOMPETITIVENESSCONSUMERCONSUMER CREDITCONSUMER DEBTCONSUMER GOODSCONSUMER LENDINGCONSUMER LOANSCONSUMER PRICE INDEXCONSUMERSCONTRACT ENFORCEMENTCORPORATE FINANCECORRUPTIONCOUNTRY COMPARISONSCREDIT ACCESSCREDIT CONSTRAINTSCREDIT FACILITIESCREDIT GROWTHCREDIT INCREASESCREDIT INFORMATIONCREDIT INSTITUTIONSCREDIT MARKETCREDIT PROVISIONCREDIT RATIONINGCREDIT REGISTRIESCREDIT SCORINGCREDIT SCORING MODELSCREDITORCREDITORSCREDITSCURRENT INCOMEDEBTORDEFICITSDEPOSITDEPOSIT INSURANCEDEPOSIT MONEY BANKSDEVELOPING COUNTRIESDEVELOPMENT ECONOMICSDISECONOMIES OF SCALEDISTRIBUTION OF CREDITDISTRIBUTION OF INCOMEDOMESTIC CREDITDUMMY VARIABLESEARNINGSECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC SECTORSECONOMIC THEORYECONOMIC TRENDSECONOMICSEMERGING MARKETSENDOGENOUS VARIABLESENROLLMENTENTERPRISE CREDITENTREPRENEURSENTREPRENEURSHIPEQUILIBRIUM CREDITEQUILIBRIUM CREDIT RATIONINGEXOGENOUS VARIABLESEXPENDITURESEXPORTSEXTERNAL FINANCEFAMILIESFEDERAL RESERVEFEDERAL RESERVE BANKFEDERAL RESERVE SYSTEMFINANCIAL ASSETSFINANCIAL CRISESFINANCIAL DEVELOPMENTFINANCIAL INSTITUTIONSFINANCIAL INTERMEDIARYFINANCIAL INTERMEDIATIONFINANCIAL LIABILITIESFINANCIAL MARKETFINANCIAL MARKETSFINANCIAL SECTORFINANCIAL SECTOR DEVELOPMENTFINANCIAL SECTOR INDICATORSFINANCIAL SECTOR POLICIESFINANCIAL SECTORSFINANCIAL SERVICEFINANCIAL STRUCTUREFINANCIAL STUDIESFINANCIAL SYSTEMFINANCIAL SYSTEMSFINANCING NEEDSFINANCING SOURCESFIXED COSTFOREIGN BANKSFOREIGN CURRENCYFOREIGN ENTRYFORMAL BANKINGFUTURE RESEARCHGDPGDP PER CAPITAGOVERNMENT EXPENDITURESGROSS DOMESTIC PRODUCTGROSS DOMESTIC PRODUCT PER CAPITAGROUP LENDINGGROWTH RATEHOUSEHOLD FINANCEHOUSEHOLD LENDINGHOUSEHOLDSHOUSINGHUMAN CAPITALINCOME DISTRIBUTIONINCOME EFFECTINCOME LEVELINCOMESINFLATIONINFLATION RATEINFLATION RATESINFORMAL ECONOMYINFORMATION ASYMMETRIESINFORMATION SHARINGINITIAL INVESTMENTINSTITUTIONAL DEVELOPMENTINTEREST PAYMENTSINTERNATIONAL BANKLACK OF ACCESSLARGE BUSINESSLARGE ENTERPRISESLAWSLEGAL SYSTEMLEGAL SYSTEM EFFICIENCYLENDERLENDERSLIFETIMELIQUIDITYLIQUIDITY CONSTRAINTSLOANLOAN CONTRACTSLOAN SIZELOW INCOMEMACROECONOMIC STABILITYMACROECONOMICSMARKET SHAREMARKET STRUCTUREMARKET VALUEMFIMFISMICROCREDITMICROFINANCEMORTGAGEMORTGAGE CREDITMORTGAGE INTERESTMORTGAGE LOANSMORTGAGESOWNERSHIP STRUCTUREPERSONAL CREDITPOLITICAL ECONOMYPOSITIVE EFFECTSPRIVATE CREDITPRIVATE ENTERPRISESPRIVATE SECTOR CREDITPRODUCTIVITYPROPRIETORSHIPSPUBLIC CREDITPUBLIC POLICYREAL ESTATEREAL GDPREAL SECTORREGRESSION ANALYSISREGULATORY FRAMEWORKREGULATORY POLICIESREPAYMENTRESEARCH ASSISTANCERISK MANAGEMENTSAVINGSSAVINGS RATESECONDARY SCHOOLSECONDARY SCHOOLSSECURITIESSHARE OF CREDITSMALL BUSINESSSMALL BUSINESS CREDITSMALL ENTREPRENEURSSTATE UNIVERSITYSTOCK MARKETSTOCK MARKETSSUBSIDIARIESTAXTAX INCENTIVESTAXABLE INCOMETAXATIONTRANSACTIONTRANSACTION COSTSTRANSITION ECONOMIESTYPE OF LOANURBAN AREASURBAN POPULATIONURBANIZATIONVALUE ADDEDWorld Bank10.1596/1813-9450-4661