We examine the effects of bank's political connection on bank performance and risk in China. We use hand … connected banks have disproportionally higher performance when the CEOs previous worked in the same city where the current bank … distress. Our results offer a mechanism of political rent seeking, consistent with the institutional environment of China …

bank managers and regulators in China as well as in other emerging economies …This paper investigates the effects of focus versus diversification on bank performance using data on Chinese banks …