IDEAS home Printed from https://ideas.repec.org/p/fip/feddwp/83-03.html
   My bibliography  Save this paper

On regional integration in bank commercial lending

Author

Listed:
  • Dale K. Osborne

Abstract

This paper tests the hypothesis that average interest rates for ten categories of commercial loans (short-term and long-term loans in five size classes) in the regions of the United States behave as if they were generated in an integrated national market. The tests, derived from two models of commercial lending in an integrated market , indicate that all regions are highly integrated in short-term lending in all size classes. In long-term lending, five of the six regions appear to be highly integrated in four of the five size classes. The exceptional region is the Southeast, which seems not only to be poorly integrated with the other regions but also to be far less homogeneous. The exceptional loan-size class is 0 to $10,000.

Suggested Citation

  • Dale K. Osborne, 1983. "On regional integration in bank commercial lending," Working Papers 8303, Federal Reserve Bank of Dallas.
    • Handle: RePEc:fip:feddwp:83-03
    as

    Download full text from publisher

    File URL: https://www.dallasfed.org/~/media/documents/research/papers/1983/wp8303.pdf
    File Function: Full text
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. George J. Benston, 1964. "Commercial Bank Price Discrimination Against Small Loans: An Empirical Study," Journal of Finance, American Finance Association, vol. 19(4), pages 631-643, December.
    2. Cheng, Pao L & Grauer, Robert R, 1980. "An Alternative Test of the Capital Asset Pricing Model," American Economic Review, American Economic Association, vol. 70(4), pages 660-671, September.
    3. Paul A. Meyer, 1967. "Price Discrimination, Regional Loan Rates, And The Structure Of The Banking Industry," Journal of Finance, American Finance Association, vol. 22(1), pages 37-48, March.
    4. Stephen A. Rhoades, 1977. "Structure-performance studies in banking: a summary and evaluation," Staff Studies 92, Board of Governors of the Federal Reserve System (U.S.).
    5. Charles T. Taylor, 1968. "Average Interest Charges, The Loan Mix, And Measures Of Competition: Sixth Federal Reserve District Experience," Journal of Finance, American Finance Association, vol. 23(5), pages 793-804, December.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Jehle, Geoffrey, 1985. "Regulation and the Public Interest in Banking," MPRA Paper 73414, University Library of Munich, Germany.
    2. Shaffer, Sherrill, 2002. "Competitive bank pricing and adverse selection, with implications for testing the SCP hypothesis," The Quarterly Review of Economics and Finance, Elsevier, vol. 42(3), pages 633-647.
    3. Tian, Geran & Wu, Weixing, 2023. "Big data pricing in marketplace lending and price discrimination against repeat borrowers: Evidence from China," China Economic Review, Elsevier, vol. 78(C).
    4. Jehle, Geoffrey, 1984. "Individual Welfare and the Demand for Financial Instruments," MPRA Paper 73410, University Library of Munich, Germany.
    5. Randall K. Filer & Bernard Shull, 1991. "Projected Employment Effects of a Repeal of the Glass-Steagall Act," Eastern Economic Journal, Eastern Economic Association, vol. 17(2), pages 211-221, Apr-Jun.
    6. Shaffer, Sherrill, 2004. "Patterns of competition in banking," Journal of Economics and Business, Elsevier, vol. 56(4), pages 287-313.
    7. Segun Thompson Bolarinwa & Olufemi Bodunde Obembe, 2017. "Concentration–Profitability Nexus: New Approach from Causality," Studies in Microeconomics, , vol. 5(1), pages 84-98, June.
    8. Athanasoglou, Panayiotis P. & Brissimis, Sophocles N. & Delis, Matthaios D., 2008. "Bank-specific, industry-specific and macroeconomic determinants of bank profitability," Journal of International Financial Markets, Institutions and Money, Elsevier, vol. 18(2), pages 121-136, April.
    9. Glen Rogers & Ron Schaffer & Glen Pulver, 1988. "Identification of Local Capital Markets for Policy Research," The Review of Regional Studies, Southern Regional Science Association, vol. 18(1), pages 55-66, Winter.
    10. Naceur, Sami Ben & Omran, Mohammed, 2011. "The effects of bank regulations, competition, and financial reforms on banks' performance," Emerging Markets Review, Elsevier, vol. 12(1), pages 1-20, March.
    11. George J. Benston, 2006. "Commentary on \\"On the importance of the plumber: the intersection of theory and practice in policymaking for federal financial institutions\\"," Review, Federal Reserve Bank of St. Louis, vol. 88(Jul), pages 273-280.
    12. John T. Rose, 1986. "Interstate Banking and Small Business Finance: Implications from Available Evidence," Entrepreneurship Theory and Practice, , vol. 11(2), pages 23-40, October.
    13. Christos K. Staikouras & Anastasia Koutsomanoli‐Fillipaki, 2006. "Competition and Concentration in the New European Banking Landscape," European Financial Management, European Financial Management Association, vol. 12(3), pages 443-482, June.
    14. John H. Cochrane & Francis A. Longstaff & Pedro Santa-Clara, 2003. "Two Trees: Asset Price Dynamics Induced by Market Clearing," Levine's Bibliography 666156000000000355, UCLA Department of Economics.
    15. Yuenan Wang & Amalia Di Iorio, 2007. "The cross-sectional relationship between stock returns and domestic and global factors in the Chinese A-share market," Review of Quantitative Finance and Accounting, Springer, vol. 29(2), pages 181-203, August.
    16. Chen, Hong-Yi & Lee, Alice C. & Lee, Cheng-Few, 2015. "Alternative errors-in-variables models and their applications in finance research," The Quarterly Review of Economics and Finance, Elsevier, vol. 58(C), pages 213-227.
    17. Bana Abuzayed & Nedal Al-Fayoumi & Hisham Gharaibeh, 2012. "Competition in MENA countries banking markets," International Journal of Financial Services Management, Inderscience Enterprises Ltd, vol. 5(3), pages 272-301.
    18. Hatice Jenkins & Colin Kirkpatrick, 1992. "The Impact of Transnational Banks on Developing Countries' Banking Sector: An Analysis of the Turkish Experience. (1980-89)," Development Discussion Papers 1992-09, JDI Executive Programs.
    19. Fabio Di Vittorio & Delong Li & Hanlei Yun, 2018. "On Bank Consolidation in a Currency Union," IMF Working Papers 2018/092, International Monetary Fund.
    20. Maria Eleni Agoraki & Anastasios Tsamis, 2017. "Bank Profitability and Regulation in Emerging European Markets," Multinational Finance Journal, Multinational Finance Journal, vol. 21(3), pages 177-210, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:feddwp:83-03. See general information about how to correct material in RePEc.

    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 CitEc recognized a bibliographic reference but did not link an item in RePEc 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 RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Amy Chapman (email available below). General contact details of provider: https://edirc.repec.org/data/frbdaus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.