Measuring national financial development: indexes and methods
Financial development of a country is a broad concept and can be measured in different ways. The article presents the indicators of financial development applicable for the development of the Financial Development Index (FDI) of a particular country. Financial development index could be used to rank...
Saved in:
| Main Author: | |
|---|---|
| Format: | Article |
| Language: | English |
| Published: |
Publishing House of the State University of Management
2021-06-01
|
| Series: | Вестник университета |
| Subjects: | |
| Online Access: | https://vestnik.guu.ru/jour/article/view/2843 |
| Tags: |
Add Tag
No Tags, Be the first to tag this record!
|
| _version_ | 1832541693790912512 |
|---|---|
| author | T. Ph.T. Duong |
| author_facet | T. Ph.T. Duong |
| author_sort | T. Ph.T. Duong |
| collection | DOAJ |
| description | Financial development of a country is a broad concept and can be measured in different ways. The article presents the indicators of financial development applicable for the development of the Financial Development Index (FDI) of a particular country. Financial development index could be used to rank and compare the level of financial development among countries or to test the relationship between financial development and economic growth. The paper points out the advantages and limitations of several methods including standardized method, Principle Component Analysis (PCA) method, Data Envelopment Analysis (DEA) method. The author also suggests to use Data Envelopment Analysis as an updated and advanced method to construct Financial Development Index. It is expected that this method will strengthen the quantitative approach in the research of financial development and economic growth. |
| format | Article |
| id | doaj-art-80aac97eacd64fddb5eeb8b8064cfbbb |
| institution | Kabale University |
| issn | 1816-4277 2686-8415 |
| language | English |
| publishDate | 2021-06-01 |
| publisher | Publishing House of the State University of Management |
| record_format | Article |
| series | Вестник университета |
| spelling | doaj-art-80aac97eacd64fddb5eeb8b8064cfbbb2025-02-04T08:28:08ZengPublishing House of the State University of ManagementВестник университета1816-42772686-84152021-06-010415216010.26425/1816-4277-2021-4-152-1602031Measuring national financial development: indexes and methodsT. Ph.T. Duong0State University of ManagementFinancial development of a country is a broad concept and can be measured in different ways. The article presents the indicators of financial development applicable for the development of the Financial Development Index (FDI) of a particular country. Financial development index could be used to rank and compare the level of financial development among countries or to test the relationship between financial development and economic growth. The paper points out the advantages and limitations of several methods including standardized method, Principle Component Analysis (PCA) method, Data Envelopment Analysis (DEA) method. The author also suggests to use Data Envelopment Analysis as an updated and advanced method to construct Financial Development Index. It is expected that this method will strengthen the quantitative approach in the research of financial development and economic growth.https://vestnik.guu.ru/jour/article/view/2843financial development indexnational financial developmentmethods measurementprinciple component analysispcadata envelopment analysisdeaweighted averagefinancial systemfinancial marketfinancial institutionseconomic growth |
| spellingShingle | T. Ph.T. Duong Measuring national financial development: indexes and methods Вестник университета financial development index national financial development methods measurement principle component analysis pca data envelopment analysis dea weighted average financial system financial market financial institutions economic growth |
| title | Measuring national financial development: indexes and methods |
| title_full | Measuring national financial development: indexes and methods |
| title_fullStr | Measuring national financial development: indexes and methods |
| title_full_unstemmed | Measuring national financial development: indexes and methods |
| title_short | Measuring national financial development: indexes and methods |
| title_sort | measuring national financial development indexes and methods |
| topic | financial development index national financial development methods measurement principle component analysis pca data envelopment analysis dea weighted average financial system financial market financial institutions economic growth |
| url | https://vestnik.guu.ru/jour/article/view/2843 |
| work_keys_str_mv | AT tphtduong measuringnationalfinancialdevelopmentindexesandmethods |