Competition, Growth, and Performance in the Banking Industry
AbstractThis paper analyzes competition, growth, and performance in the banking industry. First, we analyze the relationship between market structure and the performance of the banking industry. Furthermore, we test hypotheses on whether size matters for individual banks' profit performance. As such, we use extreme bounds stability analysis and a stability analysis in line with Sala-i-Martin (1997) to test for the reliability of the regression outcomes. It turns out that bank profits are inversely related to the amount of bank assets and are positively associated with the amount of tier-one bank capital.
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Bibliographic InfoPaper provided by Wharton School Center for Financial Institutions, University of Pennsylvania in its series Center for Financial Institutions Working Papers with number 00-18.
Date of creation: Feb 2000
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Web page: http://fic.wharton.upenn.edu/fic/
More information through EDIRC
Bank Competition; Bank Performance; Bank Size; International Banking;
Find related papers by JEL classification:
- F30 - International Economics - - International Finance - - - General
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
- L23 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Organization of Production
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