Advanced Search
MyIDEAS: Login

An Empirical Investigation of Changes in Scale Economies for the Commercial Banking Firm, 1979-1986

Contents:

Author Info

  • Gropper, Daniel M
Registered author(s):

    Abstract

    The period of the 1980s represents a particularly turbulent time for the banking industry. A number of technological and regulatory changes have occurred, including the elimination of Regulation Q which had limited the explicit interest payments that banks could pay on some types of deposits. It would be expected that these changes would affect the structure of costs for banks. The behavior of the cost function is studied over the 1979-1986 time period, and in contrast to previous studies using earlier data, increasing economies of scale are found in the later years for banks in both unit and branch banking states. These results indicate that there may be increased cost pressure for smaller banks to become larger, either through mergers and acquisitions or through internal growth. This may lead to further consolidation pressures within the industry, and reductions in the overall number of banking firms. Copyright 1991 by Ohio State University Press.

    Download Info

    If 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.
    File URL: http://links.jstor.org/sici?sici=0022-2879%28199111%2923%3A4%3C718%3AAEIOCI%3E2.0.CO%3B2-R&origin=bc
    File Function: full text
    Download Restriction: Access to full text is restricted to JSTOR subscribers. See http://www.jstor.org for details.

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by Blackwell Publishing in its journal Journal of Money, Credit and Banking.

    Volume (Year): 23 (1991)
    Issue (Month): 4 (November)
    Pages: 718-27

    as in new window
    Handle: RePEc:mcb:jmoncb:v:23:y:1991:i:4:p:718-27

    Contact details of provider:
    Web page: http://www.blackwellpublishing.com/journal.asp?ref=0022-2879

    Related research

    Keywords:

    References

    No references listed on IDEAS
    You can help add them by filling out this form.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Stensland, Jeffrey & Pederson, Glenn D., 1995. "Performance Of Minnesota Banks: An Analysis Of Strategic Management Choices," Staff Papers 14203, University of Minnesota, Department of Applied Economics.
    2. Mahajan, Arvind & Rangan, Nanda & Zardkoohi, Asghar, 1996. "Cost structures in multinational and domestic banking," Journal of Banking & Finance, Elsevier, vol. 20(2), pages 283-306, March.
    3. Neuberger, Doris, 1997. "Structure, Conduct and Performance in Banking Markets," Thuenen-Series of Applied Economic Theory 12, University of Rostock, Institute of Economics.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:mcb:jmoncb:v:23:y:1991:i:4:p:718-27. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum).

    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.