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The distinction between retail and corporate banking markets is of much importance in real life banking organizations. The two markets differ with respect to concentration, the importance of informational asymmetries, and the extent of customer mobility. Within a standard conjectural variation...
Persistent link: https://www.econbiz.de/10005522006
We formulate and estimate a multioutput bank's cost function amenable for distinguishing between economies of scale and economies of network density. We find significant returns to network density, epecially for samller banks. Diseconomies of scale are found for the larger banks, whereas the...
Persistent link: https://www.econbiz.de/10005430030
This paper presents a model whereby banking firms use various strategies (price and non-price) simultaneously in a monopolistically competitive model of spatial competition when the various strategies are used across different markets in the presence of a multioutput technology. The theoretical...
Persistent link: https://www.econbiz.de/10005437926
Persistent link: https://www.econbiz.de/10010567472