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Government policy and the development of financial markets : the case of Korea (الإنجليزية)

Direction and control of the financial system has had a significant role in the government's development strategy. The paper shows how this influenced the evolution of the Korean financial system, and how the latter responded to shocks during the 1980's. Review of the Korean experience also suggests two important hypotheses: that subsidy policies (not interest ceilings) directed solely at promoting market and economic efficiency are more likely to...
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