Audit committee effectiveness, bank efficiency and risk-taking: Evidence in ASEAN countries
This study investigates the inter-relationship between audit committee effectiveness, bank efficiency and risk-taking in seven ASEAN countries for the period 2010–2019. By using three-stage least squares (3SLS) method, we contribute to literature the relationship between audit committee effectivenes...
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| Format: | Article |
| Language: | English |
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Taylor & Francis Group
2022-12-01
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| Series: | Cogent Business & Management |
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| Online Access: | https://www.tandfonline.com/doi/10.1080/23311975.2022.2080622 |
| Summary: | This study investigates the inter-relationship between audit committee effectiveness, bank efficiency and risk-taking in seven ASEAN countries for the period 2010–2019. By using three-stage least squares (3SLS) method, we contribute to literature the relationship between audit committee effectiveness and bank risk-taking by examining the mechanism behind this relation. Our results show that audit committee effectiveness reduces bank risk-taking through increasing bank efficiency. This study also finds that the association between audit committee effectiveness and bank risk-taking is bi-directional, i.e the higher audit committee effectiveness induces lower risk and vice versa. |
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| ISSN: | 2331-1975 |