Laeven, Luc; Goetz, Martin R.; Levine, Ross - International Monetary Fund (IMF) - 2012
This paper assesses the impact of the geographic diversification of bank holding company (BHC) assets across the United … States on their market valuations. Using two novel identification strategies based on the dynamic process of interstate bank … deregulation, we find that exogenous increases in geographic diversity reduce BHC valuations. These findings are consistent with …