Bank Type, Competition and Stability in Japanese Banking
نویسندگان
چکیده
March 2011 Abstract: We investigate whether the relationship between competition and stability varies across different bank types for Japanese banks during the period 2000-2009. In general we find that stability varies across bank types, in that banks with a regional focus (Regional, Tier 2 Regional, Shinkin and Credit Cooperative banks) are found to be more stable on average than nationwide (City and Trust) banks. The relationship between competition and stability varies across bank types with different stability levels. Specifically, competition appears to enhance the stability of banks with lower stability level (City banks), but damage the stability of banks with higher stability levels (Regional, Tier 2 Regional, Shinkin and Credit Cooperative banks).
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