@article{0267c0271d46459991a47c32683eb7a8,
title = "Does insurance hedge macro volatility? Global evidence",
abstract = "Insurance is known in the literature as a contribution to economic growth. In our crosscountry analysis, we found out that insurance density also appears to subdue macro volatility. In other words, an overall expansion of insurance coverage in an economy cushions aggregate risks. This empirical inference remains robust to controlling for other covariates known to co-move with economic activities. Given that the contribution of insurance to economic growth is more impactful in developing countries than in industrialized economies, not only this result is appealing to economic intuition, but also extends the claims in the existing researches.",
keywords = "Economic stability, Insurance, Macroeconomic volatility, Market completeness",
author = "Choi, {Paul Moon Sub} and Chae, {Won Young} and Choi, {Joung Hwa} and Han, {Young Bin}",
note = "Funding Information: Special thanks are due to Hong Min Zi. Part of this research was conducted while P.M.S. Choi and J.H. Choi were visiting scholars at the Samuel Curtis Johnson Graduate School of Management, Cornell University. J.H. Choi is grateful to Kangnam University for a grant. Standard disclaimer rules apply and all errors are of our own. Funding Information: We source the estimates of the aforementioned variables from the databases maintained by the World Bank (Gdp, GdpCap, Growth, MacroVol, TradeOpen, GovExp, CurrAcc, Capital), the Organization for Economic Co-operation and Development (OECD; GovExp, CurrAcc, Capital), the International Monetary Fund (IMF; Inflation, CurrAcc), Insurance Journal (Sigma; Insurance, InsLife, InsNonLife), and Financial Structure Database (Turnover, InsLifePen, InsNonLifePen, Private Credit).We construct a panel dataset with the estimated and procured variables and estimate missing values by multiple imputation (Dempster et al., 1977; van Dyk and Meng, 2001) in order to minimize inefficiency due to information loss. Publisher Copyright: {\textcopyright} Paul Moon Sub Choi, Won Young Chae, Joung Hwa Choi, Young Bin Han, 2017.",
year = "2017",
doi = "10.21511/imfi.14(2-2).2017.02",
language = "English",
volume = "14",
pages = "307--315",
journal = "Investment Management and Financial Innovations",
issn = "1810-4967",
publisher = "Business Perspectives",
number = "2",
}