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This paper examines the impact of regulatory policies on banking market efficiency using a sample of 678 commercial … Squares method. Focus is on two alternative measures of banking market efficiency: net interest margin and overhead costs … (operating expenses to assets). Elevated levels of these two ratios should indicate a low level of banking efficiency. The …
Persistent link: https://www.econbiz.de/10013179673
This study examines the link between bank restructuring and bank efficiency in Vietnamese banks employing the Data … efficiency. Besides, we find that bank efficiency declines during bank restructuring period because of not only transition cost …
Persistent link: https://www.econbiz.de/10012023165
We develop an empirically-based simulation study to test policies designed to control systemic risk. We consider preventive policies targeting capital requirements and mitigation policies targeting default resolution. We find that capital buffers reduce both defaults and losses. The loss...
Persistent link: https://www.econbiz.de/10013005991
This paper explores the relationship between financial reforms, financial liberalization and the quality of banking regulation and supervision for financial fragility by applying a dynamic two-step system generalized method of moments GMM panel estimator technique. The finding of this study is...
Persistent link: https://www.econbiz.de/10011308529
This paper empirically investigates the effects of capital injections into Japanese banks, which were based on the Financial Function Stabilization Law and the Early Strengthening Law, on the capital crunch. Using financial panel data for all of the Japanese commercial banks, we estimate dynamic...
Persistent link: https://www.econbiz.de/10013097991
Extensive regulatory changes and technological advances have transformed banking systems to a great extent. Banks have reacted to the challenges posed by the new operating environment by creating new products and expanding their activities to some uncharted business areas. In this paper, we...
Persistent link: https://www.econbiz.de/10013064726
ownership and cost efficiency for Indian banks in 1992-2004. The methodology consists of the joint use of parametric and non …-parametric techniques to estimate efficiency frontiers. Both approaches show that the Indian banking industry, after an initial adjustment … relationship between cost efficiency and ownership structure along with the reform processes, and decreasing mean cost efficiency …
Persistent link: https://www.econbiz.de/10013155302
This paper contributes to the empirical literature in banking profitability by testing the impacts of competition and shadow banking on bank profitability using a sample of 100 Chinese commercial banks over 2003-2013 with 417 and 395 observations. The current study fills the gaps in the...
Persistent link: https://www.econbiz.de/10012956411
This paper analyses the effects of prudential policies on leverage and insolvency risk in eleven Central and Eastern Europe banking systems in the 2005-2014 period. It explores the relationship between leverage, insolvency risk and regulation variables, and the temporal patterns of this...
Persistent link: https://www.econbiz.de/10012894182
Leverage is one of the key underlying features of banks' balance sheets. Traditionally, leverage arises directly through the use of deposited funds or other balance-sheet items, such as bonds and credit lines, as a supplementary tool of banks' equity capital in financing fresh loans and...
Persistent link: https://www.econbiz.de/10012938233