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Competitive conditions in the Central and Eastern European banking systems

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  • Delis, Manthos D

Abstract

The aim of this study is to conduct a large-scale empirical analysis of the competitive conditions in the banking systems of Central and Eastern European countries. The well-known model of Panzar and Rosse (1987) is implemented on bank-level data over the period 1999-2006. The estimates based on the separate country panels suggest a wide variation in the competitive conditions of the banking systems examined, with some being characterized as (monopolistically) competitive and other as non-competitive. Finally, the results from the full sample indicate that bank revenue is substantially influenced by structural and macroeconomic conditions.

Suggested Citation

  • Delis, Manthos D, 2008. "Competitive conditions in the Central and Eastern European banking systems," MPRA Paper 13890, University Library of Munich, Germany.
    • Handle: RePEc:pra:mprapa:13890
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    More about this item

    Keywords

    Market power; Central and Eastern European banks; Panzar-Rosse model;
    All these keywords.

    JEL classification:

    • D20 - Microeconomics - - Production and Organizations - - - General
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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