Huybens, Elisabeth; Luce, Astrid; Pratap, Sangeeta - Centro de Investigación Económica (CIE), Departamento … - 2001
We test for the presence of market discipline in the banking sector in early 20th century Mexico. Using a panel of financial data from note-issuing banks between 1905 and 1910, we examine whether bank fundamentals influenced the pattern of withdrawals. If we do not control for exit, our...