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The Relationship of Concentration and Profitability in Banking Markets

The result's identifiers

  • Result code in IS VaVaI

    <a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F00216275%3A25410%2F15%3A39900098" target="_blank" >RIV/00216275:25410/15:39900098 - isvavai.cz</a>

  • Result on the web

    <a href="http://icfb.rs.opf.slu.cz/content/conference-proceedings-2015" target="_blank" >http://icfb.rs.opf.slu.cz/content/conference-proceedings-2015</a>

  • DOI - Digital Object Identifier

Alternative languages

  • Result language

    angličtina

  • Original language name

    The Relationship of Concentration and Profitability in Banking Markets

  • Original language description

    The aim of this paper is to evaluate the relationship between the degree of concentration and profitability in the banking markets in the Czech Republic, Austria and Belgium. First, the paper presents current scientific research on this topic, which it is based on. Next, the Herfindahl-Hirschman Index is calculated for selected banking markets for the period of 2003–2012. The calculation of concentration is made based on three variables - total assets, receivables from clients and client deposits. These concentration values are compared with the development of earnings in selected banking sectors using correlation analysis; the necessary tests for normality were calculated previously. We conclude that there is an inverse relationship between the degree of concentration and the size of the profits of the banking sector in the case of the Czech Republic; correlation was not confirmed for the banking sectors in Austria and Belgium. It is possible to use the paper&apos;s results for further scientific research and findings as well as for actual economic policy, which is currently focusing on stricter regulation of the banking sector

  • Czech name

  • Czech description

Classification

  • Type

    D - Article in proceedings

  • CEP classification

  • OECD FORD branch

    50206 - Finance

Result continuities

  • Project

  • Continuities

    S - Specificky vyzkum na vysokych skolach

Others

  • Publication year

    2016

  • Confidentiality

    S - Úplné a pravdivé údaje o projektu nepodléhají ochraně podle zvláštních právních předpisů

Data specific for result type

  • Article name in the collection

    Proceedings of the 15th International Conference on Finance and Banking

  • ISBN

    978-80-7510-186-0

  • ISSN

  • e-ISSN

  • Number of pages

    10

  • Pages from-to

    40-49

  • Publisher name

    Slezská univerzita v Opavě

  • Place of publication

    Opava

  • Event location

    Praha

  • Event date

    Oct 13, 2015

  • Type of event by nationality

    WRD - Celosvětová akce

  • UT code for WoS article

    000447679800005