Book Cover -- Half-Title -- Title -- Copyright -- Dedication -- Contents -- Foreword -- Preface -- Acknowledgements -- List of abbreviations -- Chapter 1 Introduction -- Chapter 2 Finance and economic development -- INTRODUCTION -- THE ORIGINS OF THE 'PRIOR-SAVING' ARGUMENT -- Neutral money, neutral credit and the loanable funds theory -- From Hicks and Tobin to the monetarists -- From rational expectations to asymmetric information -- THE IDENTIFICATION OF FINANCE AND SAVING IN GROWTH MODELS -- THE PRIOR-SAVING ARGUMENT IN DEVELOPMENT ECONOMICS -- The Gurley and Shaw heritage -- The role of external saving: the two-gap model -- The financial liberalisation models -- SUMMING UP -- Chapter 3 Departing from the prior-saving argument -- INTRODUCTION -- THE MONETARY PRODUCTION ECONOMY -- Time, uncertainty and non-neutral money -- Production and non-neutral money -- THE DETERMINANTS OF AGGREGATE DEMAND -- Long-term expectations -- The rate of interest -- FINANCE IN A MONETARY PRODUCTION ECONOMY -- A SIMPLE MODEL OF THE BANKING FIRM UNDER UNCERTAINTY -- FINANCE IN THE CONTEXT OF AN OPEN ECONOMY -- SUMMING UP -- Chapter 4 Saving and financial markets in economic growth -- INTRODUCTION -- THE STARTING POINT: THE FINANCE-INVESTMENT-SAVING CIRCUIT -- A model of investment finance based on the finance-investment-saving circuit -- Banks hold a key position -- GROWTH AND FINANCIAL FRAGILITY -- Minsky's hypothesis of financial fragility briefly revisited -- Financial instability can deter growth -- FUNDING, FINANCIAL MARKETS AND SAVING -- FINANCE AND FUNDING IN THE OPEN ECONOMY -- SUMMING UP -- Chapter 5 Financial structures, financial development and economic development -- INTRODUCTION -- THE CONCEPT OF FUNCTIONALITY OF THE FINANCIAL STRUCTURE -- CAPITAL-MARKET-BASED AND CREDIT-BASED FINANCIAL SYSTEMS.

DIFFERENT FINANCIAL STRUCTURES IN A HISTORICAL PERSPECTIVE -- Finance in the early stages of industrialisation -- Investment finance in rapidly growing economies with underdeveloped funding mechanisms -- Functionality in different financial structures -- SUMMING UP -- Chapter 6 From theory to evidence -- INTRODUCTION -- A SUMMARY OF THE PERIOD AND ITS SUB-PERIODS -- THE METHOD OF ANALYSIS -- The importance of the institutional setting -- The analysis of main suppliers of finance -- The examination of the mechanisms of funding -- The role of foreign capital inflows -- The assessment of the system's financial robustness -- SUMMING UP -- Chapter 7 Financial system and industrialisation in Brazil, 1947-66 -- INTRODUCTION -- THE POLITICAL ECONOMY OF GROWTH -- THE UNDERDEVELOPMENT OF THE FINANCIAL STRUCTURE AND ITS CONSEQUENCES -- BANKS AND OTHER SUPPLIERS OF FINANCE -- THE COMPENSATING STRUCTURES: FUNCTIONALITY AND SHORTCOMINGS -- THE ROLE OF FOREIGN CAPITAL INFLOWS -- THE INHERENT FINANCIAL FRAGILITY OF THE INDUSTRIALISATION -- LIMITS ON THE FUNCTIONALITY OF THE FINANCIAL SYSTEM -- SUMMING UP -- Chapter 8 The financial reforms and the 'economic miracle' -- INTRODUCTION -- THE RATIONALE OF THE REFORMS OF 1964-6 -- INDEXATION AND THE MATURITY OF FINANCIAL OPERATIONS -- THE SPECULATIVE BIAS OF THE REFORMED CAPITAL MARKET -- THE REFORM AND THE FOREIGN DEBT -- THE FINANCIAL REFORMS AND THE 'ECONOMIC MIRACLE' -- THE (DYS)FUNCTIONALITY OF THE REFORMED FINANCIAL SYSTEM -- SUMMING UP -- Chapter 9 Towards the lost decade -- INTRODUCTION -- GROWTH AND PACE OF ACCUMULATION IN THE PERIOD -- THE FINANCIAL STRATEGY BEHIND THE SECOND NATIONAL DEVELOPMENT PLAN -- Investment finance -- The policy towards foreign capital inflows -- Financial markets, orthodox monetary policies and the stimuli to speculation -- THE SHORTCOMINGS OF THE GOVERNMENT'S FINANCIAL STRATEGY.

The vicious circle of the monetary policy -- The link between internal and external debt -- Financial fragility -- SUMMING UP -- Chapter 10 Conclusion -- Notes -- Statistical appendix -- Bibliography -- Index.