Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013
The history of the studies on traditional industrial economics goes back to 1940's. These studies (Mason, 1939; Bain, 1952) were in general conducted to provide information about market structure. The structure-conduct-performance (SCP) approach stemmed from these studies argues that, in the c...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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EconJournals
2016-10-01
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| Series: | International Journal of Economics and Financial Issues |
| Online Access: | https://www.econjournals.com/index.php/ijefi/article/view/3064 |
| _version_ | 1797908383374770176 |
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| author | Tuncay Celik Muhittin Kaplan |
| author_facet | Tuncay Celik Muhittin Kaplan |
| author_sort | Tuncay Celik |
| collection | DOAJ |
| description |
The history of the studies on traditional industrial economics goes back to 1940's. These studies (Mason, 1939; Bain, 1952) were in general conducted to provide information about market structure. The structure-conduct-performance (SCP) approach stemmed from these studies argues that, in the case of hindered market entry, the higher the concentration ratio and collusion among firms, the lower the level of competition in the market. Later on, a number of authors have contributed to the traditional SCP approach to improve it in a number of ways: the first hypothesis is called “the collusion hypothesis” and developed by Bain (1952); the second one was due to Demsetz (1973) and called the “efficient structure hypothesis”. This study aims at testing the applicability of the SCP approaches using the data related to 23 Turkish commercial banks operating over the period 2008-2013. The empirical results have shown that the modified efficient structure hypothesis holds for the Turkish banking sector over the sample period.
Keywords: SCP, efficiency, concentration, Turkish banking
JEL Classification: G21
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| first_indexed | 2024-04-10T10:51:52Z |
| format | Article |
| id | doaj.art-28b33a28b80e46cbb227ae9692843c87 |
| institution | Directory Open Access Journal |
| issn | 2146-4138 |
| language | English |
| last_indexed | 2024-04-10T10:51:52Z |
| publishDate | 2016-10-01 |
| publisher | EconJournals |
| record_format | Article |
| series | International Journal of Economics and Financial Issues |
| spelling | doaj.art-28b33a28b80e46cbb227ae9692843c872023-02-15T16:20:06ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382016-10-0164Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013Tuncay Celik0Muhittin KaplanErciyes University The history of the studies on traditional industrial economics goes back to 1940's. These studies (Mason, 1939; Bain, 1952) were in general conducted to provide information about market structure. The structure-conduct-performance (SCP) approach stemmed from these studies argues that, in the case of hindered market entry, the higher the concentration ratio and collusion among firms, the lower the level of competition in the market. Later on, a number of authors have contributed to the traditional SCP approach to improve it in a number of ways: the first hypothesis is called “the collusion hypothesis” and developed by Bain (1952); the second one was due to Demsetz (1973) and called the “efficient structure hypothesis”. This study aims at testing the applicability of the SCP approaches using the data related to 23 Turkish commercial banks operating over the period 2008-2013. The empirical results have shown that the modified efficient structure hypothesis holds for the Turkish banking sector over the sample period. Keywords: SCP, efficiency, concentration, Turkish banking JEL Classification: G21 https://www.econjournals.com/index.php/ijefi/article/view/3064 |
| spellingShingle | Tuncay Celik Muhittin Kaplan Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 International Journal of Economics and Financial Issues |
| title | Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 |
| title_full | Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 |
| title_fullStr | Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 |
| title_full_unstemmed | Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 |
| title_short | Testing the Structure-Conduct-Performance Paradigm for the Turkish Banking Sector: 2008-2013 |
| title_sort | testing the structure conduct performance paradigm for the turkish banking sector 2008 2013 |
| url | https://www.econjournals.com/index.php/ijefi/article/view/3064 |
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