The Persistence of Bank Profit

John Goddard, Hong Liu, Philip Molyneux () and John Wilson
Additional contact information
Hong Liu: Bangor Business School

No 10002, Working Papers from Bangor Business School, Prifysgol Bangor University (Cymru / Wales)

Abstract: This paper examines the strength of competition in 65 national banking industries. Country-level dynamic panel estimates of the persistence of bank profit are reported and compared. The persistence of bank profit appears to be weaker for banks in developing countries than for those in developed countries. Persistence is relatively high in North America and Western Europe and relatively low in East Asia, the Pacific and Sub-Saharan Africa. The persistence of profit is stronger when entry barriers are high, and when competition is low according to both structure- and conduct-based competition indicators.

Keywords: Banking; competition; dynamic panel estimation; entry; profitability; persistence (search for similar items in EconPapers)
JEL-codes: G21 L11 (search for similar items in EconPapers)
Pages: 43 pages
Date: 2010-02
References: View complete reference list from CitEc
Citations: View citations in EconPapers (4)

Downloads: (external link)
http://www.bangor.ac.uk/business/docs/BBSWP10002.pdf (application/pdf)

Related works:
Journal Article: The persistence of bank profit (2011)
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:bng:wpaper:10002

Access Statistics for this paper

More papers in Working Papers from Bangor Business School, Prifysgol Bangor University (Cymru / Wales) Contact information at EDIRC.
Bibliographic data for series maintained by Alan Thomas ( this e-mail address is bad, please contact ).