World Economic Growth Evaluating in the Process of Financial Globalization

Document Type : Research Article



The world economy has witnesses several rounds of globalization within recent decades. Very recently, various global economic relationships can be found that have been deeply in progress. Financial relations among countries, for example, have gone up in a high rate of growth. This development which is financial globalization is a process that increases world communications through international financial and capital flows.
   Basically, this paper addressed the question: how has financial globalization affected the world economic growth? To this end, we use a new quantitative approach, so-called “program evaluation”, to explore and evaluate such effect. Accordingly, we have used the multiple matching to evaluate the responsiveness of the world economic growth to the developments of financial globalization (e.g. currency union). The empirical results for 2004, which has been selected randomly, show a significant and positive treatment effect of the currency union implementation on growth of the countries worldwide. 


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