The effect of Lerner Index and income diversification on the general bank stability in Indonesia

The purpose of this study is to examine the effect of market power and income diversification on the General Bank stability in Indonesia. This research uses a data sample of 20 general banks listed on the Indonesia Stock Exchange for the period of 2011–2014. Data analysis technique used is Multiple...

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Bibliographic Details
Main Authors: Syahyunan, Iskandar Muda, Hasan Sakti Siregar, Isfenti Sadalia, Gerry Chandra
Format: Article
Language:English
Published: LLC "CPC "Business Perspectives" 2017-11-01
Series:Banks and Bank Systems
Subjects:
Online Access:https://businessperspectives.org/images/pdf/applications/publishing/templates/article/assets/9544/BBS_2017_04_Syahyunan.pdf
Description
Summary:The purpose of this study is to examine the effect of market power and income diversification on the General Bank stability in Indonesia. This research uses a data sample of 20 general banks listed on the Indonesia Stock Exchange for the period of 2011–2014. Data analysis technique used is Multiple Linear Regression. It can be concluded simultaneously that market power and revenue diversification have significant effect on bank stability and, partially, market power has a positive and significant effect on a bank stability. Income diversification has a positive non-significant effect on bank stability.
ISSN:1816-7403
1991-7074