A growing body of literature indicates that competition increases bank soundness. Applying an industrial organization based approach to large data sets for European and U.S. banks, we offer new empirical evidence that efficiency plays a key role in the transmission from competition to soundness....

There is marked high profitability of banks, and high banking competition in sub Saharan Africa. The nature of the market structure dictates the existing level of competition and profitability. This paper applies a panel granger causality test to investigate the direction of causality between...