Showing 1 - 10 of 1,324
The work discusses a basic proposition in the theory of competition in markets with adverse selection (Bester, 1985). By working out the sequence of market transactions, we show that the effectiveness of collateral in avoiding equilibrium rationing depends on an assumption of uncontestability of...
Persistent link: https://www.econbiz.de/10008743001
This paper analyses the effects of concentration on profitability in the US banking sector from 1994-2005, using bank-level panel data. A new index of concentration is proposed, which reflects the depth and intensity of concentration. The econometric specification facilitates the simultaneous...
Persistent link: https://www.econbiz.de/10005835748
This paper compares the estimates of the two most widely used non-structural models for market power measurement in banking, namely the conduct parameter method and the revenue test, as applied to a panel of Greek banks over the period 1993-2004. We also propose a dynamic reformulation of these...
Persistent link: https://www.econbiz.de/10005836996
Commercial banks undertake business of risk in an environment of asymmetric information. This is why, the industrial economists who are interested in theory of incomplete information and principal-agent framework have found the banking industry a promising field of research. There are number of...
Persistent link: https://www.econbiz.de/10005837261
This paper calculates indicators of market structure: concentration ratio, Herfindahl index, Herfindahl-Hirschman index, inverse of the Herfindahl index and the stability indicator. These indicators are used: (1) to measure indirectly the competitiveness of the bank market, (2) to define...
Persistent link: https://www.econbiz.de/10005837421
This paper analyzes net interest income in the Mexican banking system over the period 1993-2005. Taking as reference the seminal work by Ho and Saunders (1981) and subsequent extensions by other authors, our study models the net interest margin simultaneously including operating costs and...
Persistent link: https://www.econbiz.de/10005000014
This paper employs the Panzar and Rosse (1987) and the Bresnahan models to determine the level of competition in the South African banking sector. This level of competition was tested during the period 1998 to 2008 for the Panzar and Rosse approach and from 1992 to 2008 for the Bresnahan model....
Persistent link: https://www.econbiz.de/10011257717
We have assembled a unique loan-level performance dataset for mortgages originated in the UK to study the differences in default likelihood between loans of varying borrower and loan characteristics. We can broadly confirm the relevance of most commonly known riskfactors and find that most...
Persistent link: https://www.econbiz.de/10008497697
China. A now stable and relatively healthy banking system emerged largely unscathed from the financial crisis without … relying much on recognised international best practices in bank supervision. China combines a strong regulatory hand together … private monitoring mechanisms on top of restrictive regulators that allows for stability and growth - at least for now. China …
Persistent link: https://www.econbiz.de/10009422005
The Article first presents a brief history or survey of the some of the earlier problems that associate with China … practices of the banking and finance sector, which widely range from non-performing loans, to China’s money market and interbank … economy, and the requirements of both the WTO rules and China’s WTO Protocol on accession. The Article also briefly explores …
Persistent link: https://www.econbiz.de/10005616726