Article Per Year (5 Year)
p-Index From 2021 - 2026
0.23
P-Index
This Author published in this journals
All Journal ETIKONOMI
Kumar Debasis Dutta
Zhongnan University of Economics and Law, Wuhan 430073, P. R. China Patuakhali Science and Technology University, Patuakhali, Bangladesh
Economics, Econometrics & Finance

Published : 1 Documents Claim Missing Document
Claim Missing Document
Check
Articles

Found 1 Documents
Search

 1 
Nonlinearity of Competition-Stability Nexus: Evidence from Bangladesh Kumar Debasis Dutta; Mallika Saha
ETIKONOMI Vol 20, No 1 (2021)
Publisher : Faculty of Economic and Business

Show Abstract | Download Original | Original Source | Check in Google Scholar | DOI: 10.15408/etk.v20i1.15984

Abstract

Financial deregulation since the 1980s has been stimulating fierce competition among banks and influencing financial stability across the world. In pace with this, Bangladesh's banking industry is also experiencing intense competition since it is composed of many banks. The empirical evidence on competition and stability widely debate to date, perhaps for not considering the potential nonlinearity. Therefore, our study aims to explore the nonlinear impact of competition on the financial stability of Bangladeshi banks over 2010-2017. For achieving this objective, we compute the Boone indicator and Z-score using bank-level data to measure competition and stability, respectively, and examine the nonlinear dynamics of competition-stability nexus employing threshold analysis in a panel setup. Our findings confirm that the competition-stability relationship is nonlinear and implies that financial stability is more substantial (weaker) in a less (more) competitive market. Our results bear specific policy implications.JEL Classification: G21, G28How to Cite:Dutta, K. D., & Saha, M. (2021). Nonlinearity of Competition-Stability Nexus: Evidence from Bangladesh. Etikonomi, 20(1), 55 – 66. https://doi.org/10.15408/etk.v20i1.15984.
Co-Authors Mallika Saha