Not so long ago, mainstream macroeconomists thought that employment and growth were by and large independent of inflation in the long run. But the evidence accumulating in the 1990s seems to suggest that low inflation contributes to real economic performance in ways not fully appreciated before.
Naitram (2014) quantifies the impact of 17 small centres, using data from the IMF’s Coordinated Portfolio Investment Survey. His findings were that small IBFS centres that offer a wide range of services transmit finance efficiently from investors to productive end users, largely by reducing market frictions.