A spatial analysis of state banking regulation
AbstractWe use a spatial model to investigate a state’s choice of branch banking and interstate banking regimes as a function of the regime choices made by other states and other variables suggested in the literature. We extend the basic spatial econometric model by allowing spatial dependence to vary by geographic region. Our findings reveal that spatial effects have a large, statistically significant impact on state regulatory regime decisions. The importance of spatial correlation in the setting of state banking policies suggests the need to consider spatial effects in empirical models of state policies in general.
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Bibliographic InfoPaper provided by Federal Reserve Bank of St. Louis in its series Working Papers with number 2003-044.
Date of creation: 2005
Date of revision:
Publication status: Published in Papers in Regional Science, November 2005, 84(4), pp. 575-95
Other versions of this item:
- NEP-ALL-2004-02-29 (All new papers)
- NEP-DCM-2004-02-29 (Discrete Choice Models)
- NEP-MAC-2004-02-29 (Macroeconomics)
- NEP-URE-2004-02-29 (Urban & Real Estate Economics)
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