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Assessment of the Impact of Institutional Environment Factors on the Development of the Institutional Structure of the Financial Systems of Japan and Singapore: Application of Diagnostic Models

Assessment of the Impact of Institutional Environment Factors on the Development of the Institutional Structure of the Financial Systems of Japan and Singapore: Application of Diagnostic Models

Journal of Economic Regulation, , Vol. 11 (no. 1),

The paper is devoted to assessing the impact of institutional environment factors on the development of the institutional structure of the financial systems of Japan and Singapore. The relationship between the level of formation of the institutional environment of the national financial system and the quality of its institutional structure, the formation and development of which is influenced by the factors of the institutional environment (both external and internal). Institutional factors that have the strongest impact on the efficiency of the key elements of the financial system are identified, and indicators and indicators reflecting the level of development of its key elements are proposed. It is proved that to analyze the level of formation of the institutional financial environment it is advisable to use the indicator of financial depth. The models of financial development are analyzed and the results of the financial development of Japan and Singapore, including the assessment of the financial depth of financial systems, are presented. By means of the correlation analysis various types of interrelations between indicators of an assessment of formation of the institutional environment and indicators of financial depth of financial systems of Japan and Singapore were revealed. Based on the results of the study of the influence of institutional factors on the formation of the institutional environment, the criteria for the selection of variables used in the construction of models for diagnosing the quality of the institutional structure of the national financial system were proposed. The conditions for choosing the optimal models that are appropriate to use in the models of diagnostics of the institutional structure of the financial systems of Japan and Singapore are formulated.

Keywords: institutional environment; institutional structure of the financial system; external and internal institutional indicators; models of financial development; diagnostic models

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