Does Banking Competition Improve Industry Performance? Evidence from Taiwan

Autor: Ho-Chyuan Chen, Yu Ting Chuo, Shih Ti Yu, Jui Chuan Della Chang
Rok vydání: 2016
Předmět:
Zdroj: Journal of Informatics and Data Mining. 1
ISSN: 2472-1956
DOI: 10.21767/2472-1956.100016
Popis: This paper investigates how the degree of the banking sector competition affects the operating performance of non-banking industrial sectors that are typically dependent on external financing. The empirical analysis adopts the H-statistic competition index proposed by Panzar and Rosse and uses Taiwan’s industry-level and bank-level panel data over the period from 1999:07 to 2013:06. The empirical results find that an increase in the degree of bank competition leads to weaken the industry performance, especially during non-crisis period. Furthermore, such effects may be different, attributive to industry heterogeneity.
Databáze: OpenAIRE