The Integration of Regional and Interregional Capital Markets: Evidence from the Pacific Coast, 1883–1913

The literature on national capital market integration in nineteenth-century America has overlooked the role of markets at a regional level. Such markets were important in reducing the possible burden of isolation by efficiently recycling local savings, and in promoting eventual integration into a na...

Full description

Saved in:
Bibliographic Details
Published in:The Journal of economic history 1989-06, Vol.49 (2), p.297-310
Main Author: Odell, Kerry A.
Format: Article
Language:English
Subjects:
Bank capital
Bank loans
Bank markets
Capital
Capital markets
Capital mobility
Cities
Economic development
Economics
Financial markets
History
Interest rates
National banks
Savings
Securities markets
Citations: Items that this one cites
Items that cite this one
Online Access:Get full text
Tags: Add Tag
No Tags, Be the first to tag this record!
Description
Summary:The literature on national capital market integration in nineteenth-century America has overlooked the role of markets at a regional level. Such markets were important in reducing the possible burden of isolation by efficiently recycling local savings, and in promoting eventual integration into a national financial market. This article presents evidence that a commercial market centered on San Francisco extended into the Pacific Coast states and formed the basis for a regional financial market. The degree of market integration is measured through tests of interest rate covariability and convergence.
ISSN:0022-0507
1471-6372
DOI:10.1017/S0022050700007944