Journal of Applied Finance & Banking

The research on the distinguishing features of the international financial centers

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  • Abstract

    Although London appeared as the first international financial center on the world, the number of these kind of centers show a notable increase in the recent years. Those centers are regarded as magnetic places for the economic issues and they also serve as important economic centers. In the scope of this work, the definition and criteria for the international financial centers received priority in consideration. Secondly, in order to determine the distinguishing features of the international financial centers, an empirical study on 53 different financial centers, including Istanbul, is performed. The logistic regression analysis is applied for the first 20% of the distinguished group and for the analysis SPSS is used. With a rate of 83%, the locations of the centers’ are presumed successfully. A positive relation is determined between the efficency and strength of the legal rights, as well as the variability of the labor force participation rate, and the centers’ being in the first 20% group. The significant variables in the model are regarded broadly and also appraised according to Istanbul’s target to be one of the international financial centers.