Regulations, competition and bank risk-taking in transition countries

Journal of Financial Stability

Volumn 7, Issue 1, 2011, Pages 38-48

  Agoraki, Maria Eleni K ^a   Delis, Manthos D ^b   Pasiouras, Fotios ^c  

^a ATHENS UNIVERSITY OF ECONOMICS AND BUSINESS   (Greece)

^b UNIVERSITY OF IOANNINA   (Greece)

^c UNIVERSITY OF BATH   (United Kingdom)

Author keywords

Banking sector reform; CEE banks; Competition; Regulations; Risk taking

Indexed keywords

EID: 79551682013     PISSN: 15723089     EISSN: None     Source Type: Journal    
DOI: 10.1016/j.jfs.2009.08.002     Document Type: Article

References (51)

1. Allen F., Gale D. Comparing Financial Systems 2000, MIT Press, Cambridge, MA.
2. Allen F., Gale D. Competition and financial stability. Journal of Money, Credit, and Banking 2004, 36:453-480.
3. Altunbas Y., Gardener E.P.M., Molyneux P., Moore B. Efficiency in European banking. European Economic Review 2001, 45:1931-1955.
4. Baltagi B.H. Econometric Analysis of Panel Data 2001, John Wiley & Sons, Chichester. second edition.
5. Barth J.R., Caprio G., Levine R. The regulation and supervision of bank around the world: a new database. Integrating Emerging Market Countries into the Global Financial System 2001, 183-240. Brookings-Wharton Papers in Financial Services, Brooking Institution Press. R.E. Litan, R. Herring (Eds.).
6. Barth J.R., Caprio G., Levine R. Bank regulation and supervision: what works best?. Journal of Financial Intermediation 2004, 13:205-248.
7. Barth J.R., Caprio G., Levine R. Rethinking Bank Regulation 2006, Cambridge University Press, Till angels govern.
8. Barth, J.R., Caprio Jr., G., Levine, R., 2008. Bank regulations are changing: But for better or worse? World Bank, Policy Research Working Paper 4646.
9. Beck T., Demirguc-Kunt A., Maksimovic V. Bank Competition and Access to Finance: International Evidence. Journal of Money, Credit and Banking 2004, 36:627-648.
10. Beck T., Dermirguc-Kunt A., Levine R. Bank concentration, competition and crises: first results. Journal of Banking and Finance 2006, 30:1581-1603.
11. Beck, T., 2008. Bank Competition and Financial Stability: Friends or Foes? World Bank Policy Research Working Paper 4656, June.
12. Berger A.N., Bonime S.D., Covitz D.M., Hancock D. Why are bank profits so persistent? The roles of product market competition, informational opacity, and regional/macroeconomic shocks. Journal of Banking and Finance 2000, 24:1203-1235.
13. Berger A.N., Humphrey D.B. Efficiency of financial institutions: International survey and directions for future research. European Journal of Operational Research 1997, 98:175-212.
14. Binder, M., Hsiao, C., Pesaran, M.H., 2003. Estimation and Inference in short panel vector auto-regressions with unit roots and cointegration. Cambridge Working Paper in Economics, No. 0003.
15. Blundell R.W., Bond S.R. Initial conditions and moment restrictions in dynamic panel data models. Journal of Econometrics 1998, 87:115-143.
16. Bolt W., Tieman A.F. Banking competition, risk and regulation. Scandinavian Journal of Economics 2004, 106:783-804.
17. Bonin J.P., Hasan I., Wachtel P. Privatization matters: bank efficiency in transition countries. Journal of Banking and Finance 2005, 29:2155-2178.
18. Boyd J.H., De Nicolo G. The theory of bank risk taking and competition revisited. Journal of Finance LX 2005, 1329-1343.
19. Brissimis S.N., Delis M.D., Papanikolaou N.I. Exploring the nexus between banking sector reform and performance: evidence from newly acceded EU countries. Journal of Banking and Finance 2008, 32:2674-2683.
20. Chen X. Banking deregulation and credit risk: evidence from the EU. Journal of Financial Stability 2007, 2:356-390.
21. Claessens S. Benefits and costs of integrated financial services provision in developing countries. Brookings-Wharton Papers on Financial Services 2003 2003, 85-139. The Brookings Institution, Washington. R.E. Litan, R. Herring (Eds.).
22. Claessens S., Laeven L. What drives bank competition? Some international evidence. Journal of Money, Credit and Banking 2004, 36:563-583.
23. Demirgüç-Kunt, A., Serven, L., 2009. Are All the Sacred Cows Dead? Implications of the Financial Crisis for Macro and Financial Policies. World Bank Policy Research Working Paper 4807, January.
24. Demirgüç-Kunt A., Detragiache E., Tressel T. Banking on the principles: compliance with Basel core principles and banks soundness. Journal of Financial Intermediation 2008, 17:511-542.
25. European Bank for Reconstruction and Development, 2006. Transition Report 2006: finance in transition.
26. European Shadow Financial Regulatory Committee, 2000. Internal ratings, capital standards and subordinated debt. Statement No. 7 (February).
27. Fernandez A.I., Gonzalez F. How accounting and auditing systems can counteract risk-shifting of safety nets in banking: Some international evidence. Journal of Financial Stability 2005, 1:466-500.
28. Hamalainen P., Hall M., Howcroft B. A framework for market discipline in bank regulatory design. Journal of Business Finance and Accounting 2005, 32:183-209.
29. Haselmann, R., Wachtel, P., 2006. Institutions and bank behaviour. New York University, Stern School of Business working paper EC06-16.
30. Haselmann R., Wachtel P. Risk-taking by banks in the transition countries. Comparative Economic Studies 2007, 49:411-429.
31. Hellmann T.F., Murdock K.C., Stiglitz J.E. Liberalization, moral hazard in banking, and prudential regulation: are capital requirements, enough?. American Economic Review 2000, 90:147-165.
32. Jimenez, G., Lopez, J.A., Saurina, J., 2007. How does competition impact bank risk-taking. Federal Reserve Bank of San Francisco Working Paper Series 2007-23, September.
33. Keeley M.C. Deposit insurance, risk, and market power in banking. American Economic Review 1990, 5:1183-1200.
34. Kopecky K.J., VanHoose D. Capital regulation, heterogeneous monitoring costs, and aggregate loan quality. Journal of Banking and Finance 2006, 30:2235-2255.
35. Laeven L., Majnoni G. Loan loss provisioning and economic slowdown: Too much, too late?. Journal of Financial Intermediation 2003, 12:178-197.
36. Lensink R., Hermes N. The short-term effects of foreign bank entry on domestic bank behaviour: does economic development matter?. Journal of Banking and Finance 2004, 28:553-568.
37. Lepetit L., Nys E., Rous P., Tarazi A. The expansion of services in European banking: implications for loan pricing and interest margins. Journal of Banking and Finance 2008, 32:2325-2335.
38. Lepetit L., Nys E., Rous P., Tarazi A. Bank income structure and risk: an empirical analysis of European banks. Journal of Banking and Finance 2008, 32:1452-1467.
39. Levine R. Foreign banks, financial development and economic growth. International Financial Markets 1996, AEI Press, Washington, DC. E.B. Claude (Ed.).
40. Levine R. More on finance and growth: more finance, more growth?. The Federal Reserve Bank of St. Louis 2003, 31-46. July.
41. Matutes C., Vives X. Imperfect competition, risk-taking, and regulation in banking. European Economic Review 2000, 44:1-34.
42. Nerlove M. Properties of alternative estimators of dynamic panel data models: an empirical analysis of cross-country data for the study of economic growth. Essays in Panel Data Econometrics 2002, Cambridge University Press, pp. 136-169.
43. Niinimaki J.-P. The effects of competition on banks' risk-taking. Journal of Economics 2004, 81:199-222.
44. Panzar J.C., Rosse J.N. Testing for Monopoly equilibrium. The Journal of Industrial Economics 1987, 35(4):443-456.
45. Repullo R. Capital requirements, market power, and risk-taking in banking. Journal of Financial Intermediation 2004, 13:156-183.
46. Salas V., Saurina J. Deregulation, market power and risk behaviour in Spanish banks. European Economic Review 2003, 47:1061-1075.
47. Schaeck K., Cihak M., Wolfe S. Are more competitive banking systems more stable?. Journal of Money, Credit and Banking, forthcoming 2009.
48. Shaffer S. Comment on " What drives bank competition? Some international evidence" by Stijn Claessens and Luc Laeven. Journal of Money, Credit, and Banking 2004, 36:585-591.
49. Stigler G.J. The Theory of Economic Regulation. The Bell Journal of Economics and Management Science 1971, 2(1):3-21.
50. Stiglitz J.E., Weiss A. Credit Rationing in Markets with Imperfect Information. American Economic Review 1981, 71:393-410.
51. Uchida H., Tsutsui Y. Has competition in the Japanese banking sector improved?. Journal of Banking and Finance 2005, 29:419-439.