IDEAS home Printed from https://ideas.repec.org/a/eut/journl/v19y2015i1p29.html
   My bibliography  Save this article

Competition In Iran’s Banking Sector: Panzar-Rosse Approach

Author

Listed:
  • Farhad khodad Kashi

    (Department of Economics, Payame Noor University, Tehran, Iran.)

  • Jamal Zarein beynabadi

    (Department of Economics, Payame Noor University, Tehran, Iran.)

  • Yeghaneh Mosavi

    (Department of Economics, Payame Noor University, Tehran, Iran.)

Abstract

The Iranian banking sector has undergone huge and substantial reform in the last decade; privatization, establishment of private banks and development of modern technologies (IT). This paper investigates the competitive condition of the Iranian banking industry over the period 2005-2010 using the H-statistic proposed by Panzar and Rosse. The properties of this non-structural methodology make it an excellent framework for assessing the degree of competition in the banking industry. To calculate H statistics, a reduced form of revenue equation was estimated. The calculated H statistics for the whole sample period was 0.7101.The extent of H statistics and the result of wald test indicate that the structure of Iranian Banking sector is neither monopoly nor competition. Our findings were in favor of monopolistic competition.

Suggested Citation

  • Farhad khodad Kashi & Jamal Zarein beynabadi & Yeghaneh Mosavi, 2015. "Competition In Iran’s Banking Sector: Panzar-Rosse Approach," Iranian Economic Review (IER), Faculty of Economics,University of Tehran.Tehran,Iran, vol. 19(1), pages 29-39, Winter.
    • Handle: RePEc:eut:journl:v:19:y:2015:i:1:p:29
    as

    Download full text from publisher

    File URL: ftp://80.66.179.253/eut/journl/20151-3.pdf
    Download Restriction: no
    ---><---

    Citations

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


    Cited by:

    1. Faris Alshubiri, 2022. "The financial competition, concentration and structure of financial performance nexus in the financial sector of Oman," Economic Change and Restructuring, Springer, vol. 55(2), pages 681-714, May.

    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:eut:journl:v:19:y:2015:i:1:p:29. 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.

    We have no bibliographic references for this item. You can help adding them by using 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: [z.rahimalipour] (email available below). General contact details of provider: https://edirc.repec.org/data/fecutir.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.