The number of firm bankruptcies is surprisingly low in economies with poor institutions. We study a model of bank …-firm relationship and show that the bank's decision to liquidate bad firms has two opposing effects. First, the bank gets a payoff if a …

Using a translog cost function, we firstly estimate economies of scale and then calculate the bank-specific scale … of scale, with bank-specific scale elasticities ranging from 82% to 88%, while half of the Regional banks and Specialized … banks also exhibited significant scale economies, with bank-specific scale elasticities averaging around 92% and 83 …

bank profitability. The results show that cost efficiency, profit efficiency and liquidity risk are significantly related …The current paper contributes to the empirical literature in bank profitability by being the first piece of research … to bank profitability in China. Finally, the results show that higher competitive deposit market increases the Net …

scores. Then, we regress cost efficiency scores on Lerner indices contingent on bank characteristics, market features and the … for the period 2001-2011. There is a two-step analytical procedure. First, we estimate Lerner indices and cost efficiency … with cost efficiency. Originality/value- Owing to data availability constraints, this is one of the few studies to test the …

This paper studies how bank competition influences the resolution of distress and bankruptcy of firms. We compile a … shocks to bank competition, we find that higher competition leads to a significant decline in the rate of non-financial firms …' bankruptcy filings. The effect is particularly strong for private firms and in areas with higher densities of small firms. Bank …

We examine the link between bank competition and financial stability using the recent financial crisis as the setting …