Competition and Stability: An Analysis of the Turkish Banking System
AbstractThis paper examines the relationship between competition and stability in the Turkish banking sector using quarterly bank level data of 15 private commercial banks (domestic and foreigned-owned) between 2002-2012. There have been many theories stand out on the relationship between competition and stability of the banking sector so far. But theories of the competition-fragility view and competition-stability view are widely accepted theories in the literature. Dynamic panel data approach is employed to test the related tehories. However our findings indicate that the relationship between concentration and competition is not clear enough to emphasize a strict inference.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Econjournals in its journal International Journal of Economics and Financial Issues.
Volume (Year): 3 (2013)
Issue (Month): 3 ()
Contact details of provider:
Web page: http://www.econjournals.com
Competition; banking stability; financial system fragility;
Find related papers by JEL classification:
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
- G32 - Financial Economics - - Corporate Finance and Governance - - - Financing Policy; Financial Risk and Risk Management; Capital and Ownership Structure; Value of Firms; Goodwill
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Gianni De NicolÃ³ & Abu M. Jalal & John H. Boyd, 2006. "Bank Risk-Taking and Competition Revisited: New Theory and New Evidence," IMF Working Papers 06/297, International Monetary Fund.
- Uhde, André & Heimeshoff, Ulrich, 2009.
"Consolidation in banking and financial stability in Europe: empirical evidence,"
IWQW Discussion Paper Series
02/2009, Friedrich-Alexander-Universität Erlangen-Nürnberg, Institut für Wirtschaftspolitik und Quantitative Wirtschaftsforschung (IWQW).
- Uhde, André & Heimeshoff, Ulrich, 2009. "Consolidation in banking and financial stability in Europe: Empirical evidence," Journal of Banking & Finance, Elsevier, vol. 33(7), pages 1299-1311, July.
- Allen, Franklin & Gale, Douglas, 2004.
"Competition and Financial Stability,"
Journal of Money, Credit and Banking,
Blackwell Publishing, vol. 36(3), pages 453-80, June.
- Frederic S. Mishkin, 1999.
"Financial Consolidation: Dangers and Opportunities,"
NBER Working Papers
6655, National Bureau of Economic Research, Inc.
- S. Mishkin, Frederic, 1999. "Financial consolidation: Dangers and opportunities," Journal of Banking & Finance, Elsevier, vol. 23(2-4), pages 675-691, February.
- Arellano, Manuel & Bond, Stephen, 1991.
"Some Tests of Specification for Panel Data: Monte Carlo Evidence and an Application to Employment Equations,"
Review of Economic Studies,
Wiley Blackwell, vol. 58(2), pages 277-97, April.
- Tom Doan, . "RATS program to replicate Arellano-Bond 1991 dynamic panel," Statistical Software Components RTZ00169, Boston College Department of Economics.
- Keeley, Michael C, 1990. "Deposit Insurance, Risk, and Market Power in Banking," American Economic Review, American Economic Association, vol. 80(5), pages 1183-1200, December.
- Gabriel Jiménez & Jose A. Lopez & Jesús Saurina, 2010.
"How Does Competition Impact Bank Risk-Taking?,"
Banco de Espaï¿½a Working Papers
1005, Banco de Espa�a.
- M Arellano & O Bover, 1990.
"Another Look at the Instrumental Variable Estimation of Error-Components Models,"
CEP Discussion Papers
dp0007, Centre for Economic Performance, LSE.
- Arellano, Manuel & Bover, Olympia, 1995. "Another look at the instrumental variable estimation of error-components models," Journal of Econometrics, Elsevier, vol. 68(1), pages 29-51, July.
- Zuzana Fungacova & Laura Solanko & Laurent Weill, 2010.
"Market Power in the Russian Banking Industry,"
Working Papers of LaRGE Research Center
2010-09, Laboratoire de Recherche en Gestion et Economie (LaRGE), Université de Strasbourg (France).
- Anzoategui Diego & Martinez Peria Maria S. & Rocha Roberto R, 2010.
"Bank Competition in the Middle East and Northern Africa Region,"
Review of Middle East Economics and Finance,
De Gruyter, vol. 6(2), pages 26-48, November.
- Anzoategui, Diego & Soledad Martinez Peria, Maria & Rocha,Roberto, 2010. "Bank competition in the Middle East and northern Africa region," Policy Research Working Paper Series 5363, The World Bank.
- Ahmet Faruk Aysan & Ali Gunes & Osman Furkan Abbasoglu, 2007.
"Concentration, Competition, Efficiency and Profitability of the Turkish Banking Sector in the Post-Crises Period,"
2007/20, Bogazici University, Department of Economics.
- Abbasoğlu, Osman Furkan & Aysan, Ahmet Faruk & Gunes, Ali, 2007. "Concentration, Competition, Efficiency and Profitability of the Turkish Banking Sector in the Post-Crises Period," MPRA Paper 5494, University Library of Munich, Germany.
- Klaus Schaeck & Martin Cihak & Simon Wolfe, 2009. "Are Competitive Banking Systems More Stable?," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 41(4), pages 711-734, 06.
- Stijn Claessens & Luc Laeven, 2004.
"What drives bank competition? Some international evidence,"
Federal Reserve Bank of Cleveland, pages 563-592.
- Claessens, Stijn & Laeven, Luc, 2004. "What Drives Bank Competition? Some International Evidence," Journal of Money, Credit and Banking, Blackwell Publishing, vol. 36(3), pages 563-83, June.
- Claessens, Stijn & Laeven, Luc, 2003. "What drives bank competition? some international evidence," Policy Research Working Paper Series 3113, The World Bank.
- Javed Younas & Boaz Nandwa, 2010. "Financial openness and capital mobility: a dynamic panel analysis," International Review of Applied Economics, Taylor & Francis Journals, vol. 24(2), pages 239-246.
- Allen Berger & Leora Klapper & Rima Turk-Ariss, 2009.
"Bank Competition and Financial Stability,"
Journal of Financial Services Research,
Springer, vol. 35(2), pages 99-118, April.
- Thorsten Beck & Asli Demirguc-Kunt & Ross Levine, 2005.
"Bank Concentration and Fragility: Impact and Mechanics,"
NBER Working Papers
11500, National Bureau of Economic Research, Inc.
- Thorsten Beck, 2007. "Bank Concentration and Fragility. Impact and Mechanics," NBER Chapters, in: The Risks of Financial Institutions, pages 193-234 National Bureau of Economic Research, Inc.
- Arellano, Manuel, 2003. "Panel Data Econometrics," OUP Catalogue, Oxford University Press, number 9780199245291.
- Marcel Canoy & Machiel van Dijk & Jan Lemmen & Ruud de Mooij & JÃ¼rgen Weigand, 2001. "Competition and stability in banking," CPB Document 15, CPB Netherlands Bureau for Economic Policy Analysis.
- Xavier Vives, 2001. "Competition in the Changing World of Banking," Oxford Review of Economic Policy, Oxford University Press, vol. 17(4), pages 535-547.
- John H. Boyd & Gianni De Nicolã, 2005. "The Theory of Bank Risk Taking and Competition Revisited," Journal of Finance, American Finance Association, vol. 60(3), pages 1329-1343, 06.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Ilhan Ozturk).
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.