Showing 1 - 10 of 116
This paper is the first that applies a new measure of competition, the Boone indicator, to the banking industry. This approach is able to measure competition of bank market segments, such as the loan market, whereas many well-known measures of competition can consider the entire banking market...
Persistent link: https://www.econbiz.de/10011604814
This paper examines the evolution of market concentration and tests the market competition of Nepalese banking industry for an unbalanced panel of 15-25 banks for the period of 2001-2009. The market concentration is measured by Hirschman-Herfindahl indices and concentration ratios whereas market...
Persistent link: https://www.econbiz.de/10013038645
This study endeavours at measuring bank competition in Indian loan market using a new competitiveness index, the Augmented Relative Profit Difference (ARPD), which quantifies the impact of marginal costs on performance, measured in terms of market shares. This study yields two major insights....
Persistent link: https://www.econbiz.de/10013075988
In this paper, we review and explore the strategic mechanisms that deter entry in banking. The literature relies on externality between banks to generate entry deterrence. Typically, the externality generated is caused by differential adverse selection faced by incumbents and entrants. In this...
Persistent link: https://www.econbiz.de/10013160112
Low key rates hurt the profits of deposit-taking institutions in a differentiated Bertrand game if there is neither a tax on banknotes, nor a limit on its quantity, nor a reduction of its quality. By making the electronic dollar the unit of account and taxing paper currency, the central bank can...
Persistent link: https://www.econbiz.de/10012856188
Since the 1980s, important and progressive reforms have profoundly reshaped the structure of the Chinese banking system. Many empirical studies suggest that financial reform promoted bank competition in most mature and emerging economies. However, some earlier studies that adopted conventional...
Persistent link: https://www.econbiz.de/10013056357
Since the 1980s, important and progressive reforms have profoundly reshaped the structure of the Chinese banking system. Many empirical studies suggest that financial reform promoted bank competition in most mature and emerging economies. However, some earlier studies that adopted conventional...
Persistent link: https://www.econbiz.de/10013059565
The Panzar-Rosse H statistic is a commonly used measure of market power in banking. It is widely believed that H0 is inconsistent with significant market power. The theoretical part of this study rigorously disproves this perception. Instead, the possibility of H0 under conditions of substantial...
Persistent link: https://www.econbiz.de/10013031950
This paper is the first that applies a new measure of competition, the Boone indicator, to the banking industry. This approach is able to measure competition of bank market segments, such as the loan market, whereas many well - known measures of competition can consider the entire banking market...
Persistent link: https://www.econbiz.de/10013317045
This unique study examines the interactive role of bank competition and foreign bank entry in explaining the risk-taking of banks over the globe. We used cross-country data for the banking sector from 2000 to 2016. Using the pooled regression model and Two-stage Least Squares model (2SLS with...
Persistent link: https://www.econbiz.de/10012025290