Does bank branch density reduce income inequality in the Spanish provinces?

Paula Cruz-García and Jesús Peiró-Palomino

Finance Research Letters, 2023, vol. 58, issue PD

Abstract: This paper analyzes whether the density of bank branches is affecting income inequality in the Spanish provinces in the post-crisis years (2015–2019). The results show a non-significant impact for the analyzed period, and hold for a variety of scenarios, estimation methods and different types of bank. Then, although most previous literature suggests that bank branches reduce inequality, especially in advanced economies, that finding does not hold for the Spanish case. The advance of digitalization and the emergence of new forms of banking are potential candidates that might explain our results.

Keywords: Bank branches; Gini index; Inequality; Spanish provinces (search for similar items in EconPapers)
JEL-codes: G21 O10 R11 (search for similar items in EconPapers)
Date: 2023
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Persistent link: https://EconPapers.repec.org/RePEc:eee:finlet:v:58:y:2023:i:pd:s1544612323009972

DOI: 10.1016/j.frl.2023.104625

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