on the comprehensive banking model with the non-linear model of Markov regime change (MS)

Davod Abdi (), Mehdi Moradi () and Lorence Anvieh Tekyeh ()
Additional contact information
Davod Abdi: Department of Economics, Miyaneh Branch, Islamic Azad University, Miyaneh, Iran
Mehdi Moradi: Assistant Professor of the Economics Department, Payam Noor University, Tehran, Iran
Lorence Anvieh Tekyeh: Assistant Professor of the Research Center; Head of the Economic, Social, and Extension Research Department - Agricultural and Natural Resources Research and Training Center of West Azerbaijan Province

Quarterly Journal of Applied Theories of Economics, 2020, vol. 6, issue 4, 191-216

Abstract: Comprehensive banking model, with its main focus on addressing all kinds of customer financial needs, comes from combining commercial banking with investment banking. Comprehensive banking is a kind of customer-centric approach to banking, which has been considered in the Western banking industry for the past two decades, and is referred to as banks, which have a wide range of financial services, including commercial, investment, insurance, advisory and Others offer their customers. The purpose of this paper is to investigate the asymmetric effects of banking sector development on the profitability of banks in the country and in particular the National Bank based on a comprehensive banking model with the approach of the non-linear model of Markov regime change. For this purpose, the time series information of 1396-1388 was used. Based on the results, it was observed that the interest rate variables of the participation bonds, the industry concentration index, the ratio of cost to income, the ratio of loans to total loans, equity holdings to total assets had a negative and significant effect on profitability and The variables of the ratio of loans to total assets, total assets, customer deposits to total debt, income variation, inflation rate, and economic growth rate have had a positive and significant effect on the profitability of the National Bank. The variance of variables in regimen one, the regime of low volatility, is less than the two regimes. This is consistent with the theory, since it falls in the time of low volatility in the market, and macroeconomic variables and indicators such as prices are stabilizing

Keywords: Comprehensive Banking; Profitability; Bank Deposits; Asymmetric Effects (search for similar items in EconPapers)
JEL-codes: B23 D53 N20 O40 P44 (search for similar items in EconPapers)
Date: 2020
References: Add references at CitEc
Citations:

Downloads: (external link)
https://ecoj.tabrizu.ac.ir/article_9862_816aa1d7d9ae5c7a5a97450738051d26.pdf Full text (text/html)

Related works:
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:ris:qjatoe:0168

Access Statistics for this article

Quarterly Journal of Applied Theories of Economics is currently edited by Sakineh Sojoodi

More articles in Quarterly Journal of Applied Theories of Economics from Faculty of Economics, Management and Business, University of Tabriz Contact information at EDIRC.
Bibliographic data for series maintained by Sakineh Sojoodi ().