Koetter, Michael; Kolari, James W.; Spierdijk, Laura - In: The Review of Economics and Statistics 94 (2012) 2, pp. 462-480
. We propose a simple adjustment to Lerner indices to account for the possibility of forgone rents to test this hypothesis …. For a large sample of U.S. commercial banks, we find that adjusted Lerner indices are significantly larger than … conventional Lerner indices and trending upward over time. Instrumental variable regressions reject the quiet life hypothesis for …