Determinants of Bank Lending Activities in the European Union Countries: Is There Any Difference Between Bank-based and Market-based Systems?

Result code in IS VaVaI

<a href="https://www.isvavai.cz/riv?ss=detail&h=RIV%2F62156489%3A43110%2F15%3A43910578" target="_blank" >RIV/62156489:43110/15:43910578 - isvavai.cz</a>

Result on the web

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DOI - Digital Object Identifier

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Result language

angličtina

Original language name

Determinants of Bank Lending Activities in the European Union Countries: Is There Any Difference Between Bank-based and Market-based Systems?

Original language description

Banks and financial markets are considered to be the main source of liquidity in economy. Therefore, they play a really important role in the process of providing credit to economic agents and could be responsible for the possible credit crunch problem. However, many factors could influence the lending activities of banks. The objective of the paper is to identify the link between the European bank lending activities and main macroeconomic shocks and institutional variables in the sample of EU countries within the period 1998-2013. Moreover, we differentiate between the bank-based and market based economies. The microeconomic data are provided by the Bankscope database, macroeconomic shocks and institutional data are drawn from Eurostat on-line database. We employ robust OLS estimator to identify the main determinants of bank lending activities. The results confirm significant impact of macroeconomic shocks, banking controls and institutional variables on European lending activities. While the impact of inflation rate is stronger in market-based countries, the economic activity is more important in bank-based countries. The impact of monetary policy interest rates is debatable; this variable proved to be non-significant in all models. Instead, central bank financial assets played an important role in the process of bank lending activities.

Czech name

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Czech description

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Type

D - Article in proceedings

CEP classification

AH - Economics

OECD FORD branch

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Project

<a href="/en/project/GA14-28848S" target="_blank" >GA14-28848S: Financial Crisis, Depreciation and Credit Crunch in CEECs</a><br>

Continuities

P - Projekt vyzkumu a vyvoje financovany z verejnych zdroju (s odkazem do CEP)

Publication year

2015

Confidentiality

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

Article name in the collection

Economic Policy in the European Union Member Countries: Conference Proceedings

ISBN

978-80-248-3796-3

ISSN

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e-ISSN

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Number of pages

12

Pages from-to

315-326

Publisher name

Vysoká škola báňská -Technická univerzita Ostrava

Place of publication

Ostrava

Event location

Karolinka

Event date

Sep 2, 2015

Type of event by nationality

WRD - Celosvětová akce

UT code for WoS article

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