From Wharton Business School: An Alternative View on Law, Institutions, Finance and Growth
Topic: An Alternative View on Law, Institutions, Finance and Growth
Lecturer: Dr. Professor Franklin Allen
Time:2:30am, July 17th (Wednesday), 2013
Place: Room 001, SEBA Building, ZoneB, CQU
Professor Franklin Allen is the financial professor of Wharton Business School Pennsylvania, the director of Wharton Finance Research Center, former president of American Finance Societ, and a world famous financial economist. He got his doctor degree in economics from Oxford University in 1980. His main research fields cover the reform of financial system in emerging market, the structural adjustment of financial market, corporate finance and corporate governance, etc. Allen gives the courses of Finance, Corporate, Finance Analysis, and Economy. He has won dozens of excellence awards over the years, and is one of most popular professors in Wharton Business School.
The topic of the lecture given by Professor Allen is An Alternative View on Law, Institutions, Finance and Growth.
Overview: In past 50 years, the economy of China, South Korea, Taiwan and other East Asian countries were growing at a remarkable speed, which overthrew the main views on the research of law, systems, finance and economic growth. Based on the comparison between the legal system and alternative systems, we proposed a different point: although law has benefited us a lot, the monopoly system may be restricted by interest group and thus becomes the barrier against innovation. Besides, in a dynamic environment, alternative systems can adapt and change faster than laws, as such process does not require legislative institution and voters to change laws. We believe effective alternative systems is the main motive force for the growth of finance, commerce and economy in a fast growing economy entity and the early stage of economy growth. In the foreseeable static environment of low growth, the legal system can play more important role in supporting the development of finance and commerce. However, in such environment, it is still significant that alternative system shall compete with other systems to guarantee the most effective mechanism function and sustainable growth.