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A Big Financial Sector Hurts Economic Growth | Seeking Alpha

April 27th, 2015 · No Comments

  • There is a remarkable correlation between the size of the financial sector and the rate of productivity growth.
  • According to the BIS, there is causation, a bigger financial sector tends to have a negative impact on real economic growth.
  • So the growing size of the financial sector provides another possible explanation for ‘secular stagnation.’.

A Big Financial Sector Hurts Economic Growth | Seeking Alpha

Tags: Financial regulation