Macroeconomics Commons^™

Deposit Insurance And Private Capital Inflows: Further Evidence, John Thornton, Yener Altunbaş

John Thornton

We use a simple differences-in-differences technique to exam- ine whether adopting explicit deposit insurance impacts on the scale of private capital inflows to developing economies. We present evidence suggesting that these inflows improved more in countries that adopted deposit insurance than in countries that did not adopt it.