Geographical impacts of financial integration
Abstract
Financial markets are usually seen as forerunners in globalization, since the immaterial and weightless nature of finance seems to make geography less relevant than in most other industries. This picture of finance as the most global of businesses, however, is only partly true. For some parts of the financial markets, geography has lost its importance already a long time ago, but there are others where international and regional integration is still incomplete and on-going. Globally, the most important of the on-going processes is the financial opening up of the big emerging market economies, which poses huge challenges for international policy coordination and the development of institutions; at the European level, retail banking markets and payments systems are still very fragmented and a lot of work is needed to achieve the goal of a single market at least in the euro area. Finally, at the subnational level, the impact of financial integration is mostly felt through the changes in the variety of services and customer relationships available to SME’s and households. At each of these levels, financial integration holds great promise in terms of growth, efficiency and economic opportunities, but also requires significant adjustments in public policy and privatebusiness performance.
Downloads
Published
2006-01-01
Issue
Section
Research Papers
License
Authors who publish with Fennia agree to the following terms:
- Authors retain copyright and grant the journal right of first publication with the work simultaneously licensed under a Creative Commons Attribution License that allows others to share the work with an acknowledgement of the work's authorship and initial publication in this journal. The license of the published metadata is Creative Commons CC0 1.0 Universal (CC0 1.0).
- Authors are able to enter into separate, additional contractual arrangements for the non-exclusive distribution of the journal's published version of the work (e.g., post it to an institutional repository or publish it in a doctoral dissertation or book compilation), with an acknowledgement of its initial publication in this journal.
- Authors are permitted and encouraged to post their work online (e.g., in institutional repositories or on their website) prior to and during the submission process, as it can lead to productive exchanges, as well as earlier and greater citation of published work (See The Effect of Open Access).
How to Cite
Geographical impacts of financial integration. (2006). Fennia - International Journal of Geography, 184(1), 19-26. https://fennia.journal.fi/article/view/3728
.png)



