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This unique study examines the interactive role of bank competition and foreign bank entry in explaining the risk … stability. Furthermore, the joint effect of bank competition and foreign bank entry brings financial fragility because host … banks tend to make risky investments due to undue competition induced by foreign bank entry. We support the competition …
Persistent link: https://www.econbiz.de/10012611177
, thereby leading to lower rents for banks and greater competition in the domestic banking sector. We also predict that banks …-side (i.e., banks not willing to lend to firms). Overall, we document how competition from overseas financial markets …
Persistent link: https://www.econbiz.de/10011807932
particular characteristics, such as a large number of participants, a large number of markets and an unbalanced panel (many banks … participate in only one market and no bank participates in all markets). We modify the standard models to incorporate the fact …
Persistent link: https://www.econbiz.de/10014215546
Foreign bank entry is frequently associated with spillover effects for local banks and increasing competition in the … have positive welfare effects the stronger competition. Hence, competitive effects seem to reinforce each other, while … spillovers and competition tend to weaken each other. …
Persistent link: https://www.econbiz.de/10010365888
This paper explores the links between macroeconomic conditions and individual bank risk. Using capital adequacy ratios … as a broad measure of risk sustainability, a linear mixed effects model for a large international panel of banks for the …
Persistent link: https://www.econbiz.de/10003768137
We study the effects of competition on loan rates and portfolio-at-risk in microcredit markets using a new database …
Persistent link: https://www.econbiz.de/10009491676
We analyze the impact of efficiency on bank risk. We also consider whether bank capital has an effect on this … supporting the bad management and efficiency version of the moral hazard hypotheses. In contrast, bank efficiency improvements … contribute to shore up bank capital levels. Our findings suggest that banks lagging behind in their efficiency levels might …
Persistent link: https://www.econbiz.de/10003973573
We analyze the impact of efficiency on bank risk. We also consider whether bank capital has an effect on this … supporting the bad management and efficiency version of the moral hazard hypotheses. In contrast, bank efficiency improvements … contribute to shore up bank capital levels. Our findings suggest that banks lagging behind in their efficiency levels might …
Persistent link: https://www.econbiz.de/10013142777
Persistent link: https://www.econbiz.de/10012886918
This article focuses on the relationship between Fintech and bank risk-taking behavior. Since Robo-Advisor is one of … medium-sized banks from 2011 to 2016. We found that the development of Fintech has significantly reduced bank risk …-taking level. This result is still valid after the robustness test of replacing the bank's risk-taking index and replacing the …
Persistent link: https://www.econbiz.de/10012597095