DP7884 Market freedom and the global recession

Author(s): Domenico Giannone, Michele Lenza, Lucrezia Reichlin
Publication Date: June 2010
Keyword(s): Financial Crisis, Market freedom, Recession
JEL(s): E02, E65
Programme Areas: International Macroeconomics
Link to this Page: cepr.org/active/publications/discussion_papers/dp.php?dpno=7884

In this study we find that the set of policies that favor liberalization in credit markets (regulatory quality) are negatively correlated with countries? resilience to the recent recession as measured by output growth in 2008 and 2009.