The impact of out-of-state entry on the cost efficiency of local commercial banks
Article Abstract:
An improvement in banking performance was noted in those states that are implementing the Riegle-Neal Act, which permits commercial banks to undertake an out-of-state operation. States that have been permitting out-of-state entry for at least six years were able to experience improvement in their local banks' cost efficiency. A 3% improvement in cost efficiency was observed for every year in which banks faced interstate competition.
Publication Name: Journal of Economics and Business
Subject: Economics
ISSN: 0148-6195
Year: 1998
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Geographic integration of bank deposit markets and restrictions on interstate Banking: a cointegration approach
Article Abstract:
The results on the examination of the degree of market integration for different types of banking products show that consumer deposit markets are integrated and are not inherently local. The results also show that, in terms of an antitrust policy, the regulatory policies which determine a banking market based on simple geographic distinctions will not be accurately similar to the true economic market where banks operate.
Publication Name: Journal of Economics and Business
Subject: Economics
ISSN: 0148-6195
Year: 1997
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