Fink, Gerhard and Haiss, Peter
Central European financial markets from an EU perspective. Theoretical aspects and statistical analyses.
EI Working Papers / Europainstitut, 34.
Forschungsinstitut für Europafragen, WU Vienna University of Economics and Business, Vienna.
Due to the fact that the European transition economies practically started from scratch in financial market development the size of financial markets in the CE-10 is significantly smaller with respect to GDP than in developed market economies. We can show by residual analysis that financial markets in the Czech Republic and Slovakia still need some restructuring. We also find that stock markets hardly contribute to economic prosperity, neither in the CE-10 nor in the EU. (authors' abstract)