Showing 1 - 10 of 124
This paper investigates the effect of bank competition and financial stability on economic growth by examining panel-data from 38 European countries over 2001 to 2017. Bank competition is measured with the Boone indicator, and bank stability with Z-scores and non-performing loan ratios, all at...
Persistent link: https://www.econbiz.de/10012176206
We examine the influence of economic policy uncertainty on bank stability post-2007-2008 global financial crisis. We rely on the economic policy uncertainty (EPU) index introduced by Baker et al. (2016). We use 176,477 quarterly observations for US commercial banks over the period from 2011Q1 to...
Persistent link: https://www.econbiz.de/10013224541
In this paper, we explore whether economic uncertainty differently affects the default risk of Islamic and conventional … uncertainty increases the default risk of conventional banks but does not affect Islamic banks’ default risk. To understand why … banks’ default risk is not significantly affected by uncertainty in all types of countries, but such a difference with …
Persistent link: https://www.econbiz.de/10013235684
volatility and higher insolvency risk of banks. In general, although banks in less competitive markets hold more capital, the … levels of capitalization are not high enough to offset the impact on default risk of higher risk taking. Nevertheless, during …
Persistent link: https://www.econbiz.de/10010603089
bank market power is associated with lower insolvency risk and higher capital ratios. A deeper analysis however reveals …
Persistent link: https://www.econbiz.de/10012930735
We investigate the impact of global and local crises on bank stability in the MENA region and examine the effect of owning bank subsidiaries in other countries. We consider banks that experienced both types of crises during our sample period. Our findings highlight a negative impact of the...
Persistent link: https://www.econbiz.de/10012970083
competitive markets their default risk remains higher. A deeper investigation however shows that such behaviour is dependent on … the economic environment. Higher economic growth contributes to neutralize greater risk taking and higher instability in …
Persistent link: https://www.econbiz.de/10013112105
determination of interest margins. Operating costs, market power, risk aversion and liquidity risk have positive impacts on interest … margins, while credit risk and cost to income ratio are negatively associated with margins. Our results also corroborate the …
Persistent link: https://www.econbiz.de/10013076836
bank profitability and risk before, during, and after the global financial crisis of 2007-2008. We use a unique hand … presence of excess control rights is associated with lower profitability, higher risk-taking and higher default risk before … (2002-2006) and after (2009-2010) the crisis. Conversely, it improves profitability and no longer affects risk during the …
Persistent link: https://www.econbiz.de/10013077631
This paper investigates whether market information is reliable to predict financial deterioration of large Too Big To Fail banks in Asia. A stepwise logit model is first estimated to isolate the optimal set of accounting indicators to predict rating downgrades. The model is then extended to...
Persistent link: https://www.econbiz.de/10013137641