Capital account opening and economic growth——an empirical test based on systematic GMM

This paper collected panel data of 74 countries from 1990 to 2017, and based on the Chinn-It index depict degree capital account opening. Under framework neoclassical economic growth model, impact opening was empirically tested by systematic GMM. The results show that: first, taking overall openness as explanatory variable, coefficient whole sample is significantly positive. Further, considering national differences found that high income positive, but in low middle-income statistical significance were not significant, indicating made open dividends, while earnings liberalization. Finally, it proposes sub-projects step step, strengthen prudent supervision process further account, improve regulatory legal system.