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Banking crisis in east asia: A micro/macro perspective

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  • Rungrudee Suetorsak

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Abstract

This paper examines interactions between micro and macro variables in explaining the risk positions adopted by East Asian banks. The analysis shows that macroeconomic policies impacted the micro-economic decision making of banks in the period from 1989 to 1999. Considering the macroeconomic perspective side by side with the microeconomic perspective and including interactions between the two levels increases the explanatory power of the model and exposes ways in which macro conditions and government policies influenced banks’ reactions to their microeconomic variables and the level of risk they take. Copyright Springer Science + Business Media, Inc. 2006

Suggested Citation

  • Rungrudee Suetorsak, 2006. "Banking crisis in east asia: A micro/macro perspective," Review of Quantitative Finance and Accounting, Springer, vol. 26(3), pages 219-248, May.
  • Handle: RePEc:kap:rqfnac:v:26:y:2006:i:3:p:219-248
    DOI: 10.1007/s11156-006-7432-4
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    1. repec:wsi:rpbfmp:v:20:y:2017:i:03:n:s0219091517500163 is not listed on IDEAS
    2. repec:wsi:rpbfmp:v:20:y:2017:i:04:n:s021909151750028x is not listed on IDEAS
    3. Sufian, Fadzlan, 2009. "Determinants of bank efficiency during unstable macroeconomic environment: Empirical evidence from Malaysia," Research in International Business and Finance, Elsevier, vol. 23(1), pages 54-77, January.

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