EUROPEAN FINANCIAL INTEGRATION AND ECONOMIC GROWTH.

Financial integration contributes to the development of the financial system by increasing competition, increasing stability, and the efficiency of financial intermediation, resulting in lower intermediation costs and a more efficient capital allocation. Financial integration increases the depth and liquidity of financial markets and thus enhances the resilience of the European financial system. The purpose of this paper is to analyze the impact of European financial integration on economic growth using the factors through which financial integration affects growth. Thus will be seen which of these factors had a significant impact on economic growth in the EU countries. [ABSTRACT FROM AUTHOR]