Show/Hide Menu
Hide/Show Apps
Logout
Türkçe
Türkçe
Search
Search
Login
Login
OpenMETU
OpenMETU
About
About
Open Science Policy
Open Science Policy
Open Access Guideline
Open Access Guideline
Postgraduate Thesis Guideline
Postgraduate Thesis Guideline
Communities & Collections
Communities & Collections
Help
Help
Frequently Asked Questions
Frequently Asked Questions
Guides
Guides
Thesis submission
Thesis submission
MS without thesis term project submission
MS without thesis term project submission
Publication submission with DOI
Publication submission with DOI
Publication submission
Publication submission
Supporting Information
Supporting Information
General Information
General Information
Copyright, Embargo and License
Copyright, Embargo and License
Contact us
Contact us
Bank competition and banking system stability: evidence from Turkey
Download
index.pdf
Date
2009
Author
Ak Kocabay, Selvi
Metadata
Show full item record
Item Usage Stats
438
views
185
downloads
Cite This
This study empirically investigates the validity of the competition and stability trade-off hypothesis for the Turkish banking system. To this end, we consider annual bank level accounting data for the 1990-2008 period and compute the most commonly used measures of banking stability and competition. The effects of macroeconomic factors and bank specific indicators including the ownership structure are also taken into account. The fixed effects panel estimation results suggest that the relation between competition and stability is not invariant to the use of alternative indicators. The results based on the Z-Index as a measure of bank stability support the competition-stability and competition-fragility views when concentration ratios and the H-Statistics are used as the alternative competition indicators, respectively. However, when nonperforming loan ratio, a proxy for loan portfolio risk, is used as a stability measure, exactly the opposite outcome is obtained. The results also change when the ownership structure of banks is considered. Consequently, in line with the literature stating that there is no clear-cut relation between competition and stability, the direction of this relation for the Turkish banking system changes with different model specifications.
Subject Keywords
Economics
URI
http://etd.lib.metu.edu.tr/upload/12611151/index.pdf
https://hdl.handle.net/11511/18927
Collections
Graduate School of Social Sciences, Thesis
Suggestions
OpenMETU
Core
Fiscal sustainability, banking fragility and balance sheets : 2000-2001 financial crises in Turkey
Koğar, Çiğdem İzgi; Özmen, Erdal; Department of Economics (2004)
The aim of this thesis is to identify and assess the reasons of the Turkish financial crises based on various crises model explanations including the first, the second and the third generation models. It is argued that following factors played a crucial role in triggering crises in Turkey. Firstly, under the weak sustainable fiscal policies, implementation of the exchange rate based stabilization program caused the increase in vulnerabilities in the sectoral balance sheets and thus increased the prospective...
Real exchange rates and real interest rate differentials : an empirical investigation
Can Mutan, Oya; Özmen, Erdal; Department of Economics (2005)
This study investigates the validity of the real exchange rate-real interest rate differential (RERI) relationship for a sample of twenty-three developing and developed countries. The results based on the Johansen cointegration analysis suggest the validity of the long-run RERI relationship only for a small number of countries including Canada, Italy, Switzerland, Belgium, Chile, Israel and Norway. Real interest rate differentials are found to be positively associated with real exchange rates in the long-ru...
Sequencing, pace and timing of financial liberalization process in Turkey with implications on the macroeconomic environment
Ganioğlu, Aytül; Şenses, Fikret; Department of Economics (2006)
This study basically analyzes timing, sequencing and pace of the financial liberalization experience of the Turkish economy in the 1980s and evaluates its implications for the crises in the Turkish economy since the 1990s. The objectives of this study are threefold: Firstly, it aims to reveal the main policy objectives and political factors pushing the government to take capital account liberalization decision in 1989. It is concluded that domestic decision makers have shaped and taken the decision of capit...
The twin deficits hypothesis : an empirical investigation
Yanık, Yeliz; Özmen, Erdal; Department of Economics (2006)
This study investigates the validity of the twin deficits hypothesis for the Turkish quarterly data over the 1988:1-2005:2 periods. To this end, we consider a VAR variable space containing budget deficits, current account deficits, real output, real interest rates and real exchange rates and employ cointegration, equilibrium/error correction mechanism techniques along with Granger-non-causality tests and impulse response analyses. The empirical results from decompositions of the budget and current account d...
Macroeconomic impact of workers' remittances on output growth: evidence from Turkey
Yaşar, Pınar; Tansel, Aysıt; Department of Economics (2005)
In this study, a demand oriented simultaneous equation macroeconometric model with a dynamic perspective is constructed in order to investigate the impact of workers̕ remittances on output growth via their effects on key macro variables such as private consumption, investment and imports for Turkey. The study covers the period of 1964-2003 on an annual basis. Results of the analysis suggest that workers̕ remittances affect output growth in a positive manner through the multiplier process. It is found that t...
Citation Formats
IEEE
ACM
APA
CHICAGO
MLA
BibTeX
S. Ak Kocabay, “Bank competition and banking system stability: evidence from Turkey,” M.S. - Master of Science, Middle East Technical University, 2009.
