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Performance of the banking sector of a developing country: A non-structural model using the disequilibrium approach

Author

Listed:
  • Matousek, Roman

    (Kent Business School, University of Kent)

  • Nguyen, Thao Ngoc

    (Nottingham Business School, Nottingham Trent University)

  • Chris, Stewart

    (Kingston University London)

Abstract

Based on the non-structural model – disequilibrium approach (Goddard and Wilson, 2009), this paper presents an empirical assessment of the degree of competition within the Vietnamese banking system from 1999 to 2009. We examine a greater number of environmental covariates and different dependent variables compared to previous applications of this model. Moreover, we use lagged input prices (to avoid endogeneity) and exclude assets (to avoid specification bias) in our models. The results indicate that the Vietnamese banking system operates in a monopolistic environment.

Suggested Citation

  • Matousek, Roman & Nguyen, Thao Ngoc & Chris, Stewart, 2016. "Performance of the banking sector of a developing country: A non-structural model using the disequilibrium approach," Economics Discussion Papers 2016-2, School of Economics, Kingston University London.
  • Handle: RePEc:ris:kngedp:2016_002
    as

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    References listed on IDEAS

    as
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    More about this item

    Keywords

    Banking; Performance; Non-structural model; Disequilibrium approach; Vietnam;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
    • L22 - Industrial Organization - - Firm Objectives, Organization, and Behavior - - - Firm Organization and Market Structure

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