This article explores whether financial liberalization promotes market discipline in Indian banking in the form of lower deposit interest rates. Using annual data on banks from 1993 to 2004, the findings reveal that, after controlling for a myriad of factors, financial liberalization is...

This article examines the association between corporate leverage and profitability. Using firm-level data on manufacturing sector in India for 1995-2004, the findings indicate that corporate profitability and cash flows declines as leverage rises. More importantly, the marginal effect of an...

The study examines the association between financial performance and boards of non-financial firms. Using data on 127 listed manufacturing firms in India for 2003 the findings indicate that, after controlling for various firm-specific factors, larger boards tend to have a dampening influence on...

The study examines the association between corporate leverage and banks' non-performing loans. Using data on Indian manufacturing sector in India for 1993-2004, the findings indicate lagged leverage to be an important determinant of bad loans of banks. In terms of magnitudes, a 10 percentage...

Using data on listed Indian banks for 1996-2006, the article finds that charter value, depositor discipline and bank risk-taking are intertwined, with each tending to reinforce the other. Whereas charter value is found to be a nonlinear determinant of market discipline, the latter is found to...