Relationship between bank competition and stability: the case of the UK
There is no consensus in theoretical and empirical studies about the relationship between bank competition and stability. This research aims to investigate the relationship between bank competition and stability in the UK. The analysis has been done on a large sample of UK banks for the period 2004–...
| Main Authors: | , , , |
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| Format: | Article |
| Language: | English |
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LLC "CPC "Business Perspectives"
2018-03-01
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| Series: | Banks and Bank Systems |
| Subjects: | |
| Online Access: | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10162/BBS_2018_01_Zhanbolatova.pdf |
| _version_ | 1818972231309459456 |
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| author | Alau Zhanbolatova Sayabek Ziyadin Kairat Zhumanov Almagul Jumabekova |
| author_facet | Alau Zhanbolatova Sayabek Ziyadin Kairat Zhumanov Almagul Jumabekova |
| author_sort | Alau Zhanbolatova |
| collection | DOAJ |
| description | There is no consensus in theoretical and empirical studies about the relationship between bank competition and stability. This research aims to investigate the relationship between bank competition and stability in the UK. The analysis has been done on a large sample of UK banks for the period 2004–2014. There is quite contrasting evidence on the bank competition and bank soundness relationship. A unified framework has been developed to assess how different factors may make it more likely that the data favor one theory over another. The results suggest that in some cases a U-shaped relationship exists between bank competition and stability. Therefore the conclusion is that in order to protect the bank from different risk exposures a moderate level of bank competition is needed. |
| first_indexed | 2024-12-20T15:04:59Z |
| format | Article |
| id | doaj.art-1a869d53601f461a96662097d99567b8 |
| institution | Directory Open Access Journal |
| issn | 1816-7403 1991-7074 |
| language | English |
| last_indexed | 2024-12-20T15:04:59Z |
| publishDate | 2018-03-01 |
| publisher | LLC "CPC "Business Perspectives" |
| record_format | Article |
| series | Banks and Bank Systems |
| spelling | doaj.art-1a869d53601f461a96662097d99567b82022-12-21T19:36:31ZengLLC "CPC "Business Perspectives"Banks and Bank Systems1816-74031991-70742018-03-011319811410.21511/bbs.13(1).2018.1010162Relationship between bank competition and stability: the case of the UKAlau Zhanbolatova0Sayabek Ziyadin1Kairat Zhumanov2Almagul Jumabekova3Deputy Head of the Research Center for Anti-Corruption Academy of Public Administration under the President of the Republic of KazakhstanDoctor of Economics, Professor, Director of the Center for Economic Research, al-Farabi Kazakh National UniversityDoctoral Student, al-Farabi Kazakh National UniversityPh.D. (Economics), Senior Lecturer at Department of Finance, Kazakh University of Economics, Finance and International TradeThere is no consensus in theoretical and empirical studies about the relationship between bank competition and stability. This research aims to investigate the relationship between bank competition and stability in the UK. The analysis has been done on a large sample of UK banks for the period 2004–2014. There is quite contrasting evidence on the bank competition and bank soundness relationship. A unified framework has been developed to assess how different factors may make it more likely that the data favor one theory over another. The results suggest that in some cases a U-shaped relationship exists between bank competition and stability. Therefore the conclusion is that in order to protect the bank from different risk exposures a moderate level of bank competition is needed.https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10162/BBS_2018_01_Zhanbolatova.pdfanalysisbankscompetitionrelationshipstability |
| spellingShingle | Alau Zhanbolatova Sayabek Ziyadin Kairat Zhumanov Almagul Jumabekova Relationship between bank competition and stability: the case of the UK Banks and Bank Systems analysis banks competition relationship stability |
| title | Relationship between bank competition and stability: the case of the UK |
| title_full | Relationship between bank competition and stability: the case of the UK |
| title_fullStr | Relationship between bank competition and stability: the case of the UK |
| title_full_unstemmed | Relationship between bank competition and stability: the case of the UK |
| title_short | Relationship between bank competition and stability: the case of the UK |
| title_sort | relationship between bank competition and stability the case of the uk |
| topic | analysis banks competition relationship stability |
| url | https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/10162/BBS_2018_01_Zhanbolatova.pdf |
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