Market Structure and Competition in Emerging Market: Evidence from Malaysian Islamic Banking Industry
Muhamed Zulkhibri and
Fadzlan Sufian
MPRA Paper from University Library of Munich, Germany
Abstract:
This paper investigates the market structure of Islamic banking industry in Malaysia during 2001-2005 and evaluates the degree of competition using the H-statistic by Panzar and Rosse (1987). The estimated H-statistics for the whole sample periods are positive ranging from 0.38 to 0.62 and the Wald test for the market structure of monopoly or perfect competition is rejected implying that the Islamic banks in Malaysia earned their revenue in the condition of monopolistic competition.
Keywords: Competition; Panzar-Rosse model; Islamic Bank; Malaysia; Market structure (search for similar items in EconPapers)
JEL-codes: D24 G21 L1 (search for similar items in EconPapers)
Date: 2007-06-01, Revised 2007-07-01
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Citations: View citations in EconPapers (14)
Published in Journal of Economic Cooperation 28.2(2007): pp. 99-121
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Persistent link: https://EconPapers.repec.org/RePEc:pra:mprapa:12126
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