Estrada, Dairo; Gómez, Esteban; Orozco, Inés - Banco de la Republica de Colombia
This paper analyzes the determinants of interest margins in the Colombian Financial System. Based on the model by Ho and Saun- ders (1981), interest margins are modelled as a function of the pure spread and bank-speci¯c institutional imperfections using quarterly data for the period...