IDEAS home Printed from https://ideas.repec.org/p/ecj/ac2002/59.html
   My bibliography  Save this paper

Consolidation and competition. The case of the Argentine banking industry

Author

Listed:
  • Delfino, MarÌa Eugenia

    (University of Warwick)

Abstract

The Argentine banking industry has experienced increasing consolidation during the last decade. On the one hand, it can be argued that this has resulted from cost economies, perhaps associated with technical change. But on the other, it can also be argued that increased concentration in this industry may allow the exploitation of market power in the input (deposits) and output (loans) markets. These issues are addressed in this study using bank-level data for Argentine retail banks over the period 1993-2000 to estimate a cost-function based model incorporating deposits- and loans-market pricing behaviour. The results provide evidence of market power in both the market for loans and deposits and also the presence of significant cost economies, which vary over time. The findings also show an increase in consumersí surplus and banksí profits over the period but suggest the potential for additional benefits to consumers from a reduction of market power or a further expansion of bank activity level.

Suggested Citation

  • Delfino, MarÌa Eugenia, 2002. "Consolidation and competition. The case of the Argentine banking industry," Royal Economic Society Annual Conference 2002 59, Royal Economic Society.
    • Handle: RePEc:ecj:ac2002:59
    as

    Download full text from publisher

    File URL: http://repec.org/res2002/Delfino_M.pdf
    File Function: full text
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    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:ecj:ac2002:59. 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: Christopher F. Baum (email available below). General contact details of provider: https://edirc.repec.org/data/resssea.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.