Elgar Companion to Financial Economics

Edited by Joshua Yindenaba Abor, University of Ghana Business School, Ghana

• ContentsPART I OVERVIEW OF FINANCIAL ECONOMICS1 Introduction to financial economics 2Joshua Yindenaba Abor2 Microeconomic foundation of financial economics 18Maame Ammah Frimpomaah Fosu and Joshua Yindenaba AborPART II CORPORATE FINANCE: THEORY AND EVIDENCE3 Corporate governance and firm performance in Africa: does one size fit allacross sectors? 35Baah Aye Kusi and Vera Ogeh Lassey Fiador4 Capital structure and firm financing decisions 66Gladys A. A. Nabieu, Lordina Amoah, and Michael Graham5 Firm investment decisions 92Isaac Ofoeda, James Ntiamoah Doku, and Sydney O. Vanderpuye6 Dividend policy decisions 114Daniel Ofori-Sasu, Randolph Nsor-Ambala, and Elikplimi Komla AgbloyorPART III FINANCIAL MARKETS AND ASSET PRICING7 The economics of financial markets and institutions 139Joshua Yindenaba Abor and Ivana Yinisom Abor8 Financial innovation: emergence, motivations, and impact 155Abel Agoba, Ayse Demir, and Joshua Yindenaba Abor9 Efficient security markets 177Jabir Ibrahim Mohammed and Sam Mensah10 Portfolio opportunities and choice 192Sherif Sulemana, Hong Bo, and Joshua Yindenaba Abor11 Capital asset pricing model in African markets: a systematic review andbibliometric network analysis 211Emmanuel Joel Aikins Abakah, Saint Kuttu, and Alfred Yawson12 Arbitrage pricing theory: an exposition 226Saint Kuttu and Anthony Q. Q. Aboagye13 Financial derivatives 237Godfred Amewu, Michael E. Asamoah, Boison A. Angmosi , andAkuoko K. AngeloPART IV BEHAVIOURAL FINANCE14 Behavioral finance theory and anomalies 260Isaac Kofi Bekoe and Joshua Yindenaba Abor15 Behavioural portfolio and the life cycle of savings and spending 276James Pinto, Joshua Yindenaba Abor, and Kavita Sirichand16 Behavioural asset pricing and efficient markets 292Dennis Venunye Hehetror and Sunil BundooPART V EMERGING ISSUES IN FINANCIAL ECONOMICS17 Contemporary issues in banking 305Kannyiri Thadious Banyen and Lakshmy Subramanian18 Recent developments in capital markets 323Peter W. Muriu and Victor Murinde19 Emerging issues in global finance 342Emmanuel Sarpong-Kumankoma, Kathryn A. A. O. Assefuah, GloriaC. O. Dzeha, and Charles Amo-Yartey20 Digital finance and banking 358Benjamin Agyeman, Joshua Yindenaba Abor, and Peter Quartey21 Financial regulation, financial inclusion, and financial stability 379Ebenezer Bugri Anarfo, Joseph Abor, Isaac Otchere , and SarahSerwah Boateng22 Monetary policy, FinTech, and financial stability 405James Atambilla Abugre, Joshua Yindenaba Abor, Joseph G. Nellisand Emmanuel Abakah23 Central bank digital currency and monetary policy 430Joshua Yindenaba Abor, James Atambilla Abugre, and Christopher J. Green24 Green finance and banking 456Khadijah Iddrisu and Joshua Yindenaba Abor25 Climate finance and financial inclusion 493Zubeiru Salifu, Joshua Yindenaba Abor, and Godfred Amewu

‘This book brings issues of contemporary policy interest together – financial development, financial regulation, externalities, etc., while also highlighting advances of global nature, including digital financial services and Fintech, etc. It is positioned to cater to a wide range of stakeholders – students, academics, policymakers, and industry practitioners.’