Please use this identifier to cite or link to this item:
http://hdl.handle.net/10071/29388
Author(s): | Pereira, C. Ramalho, J. J. S. Silva, J. V. |
Date: | 2023 |
Title: | How to measure banking regulation and supervision |
Journal title: | Research in International Business and Finance |
Volume: | 66 |
Reference: | Pereira, C., Ramalho, J. J. S., & Silva, J. V.(2023). How to measure banking regulation and supervision. Research in International Business and Finance, 66, 102059. https://dx.doi.org/10.1016/j.ribaf.2023.102059 |
ISSN: | 0275-5319 |
DOI (Digital Object Identifier): | 10.1016/j.ribaf.2023.102059 |
Keywords: | Banking regulation Banking supervision Nonlinear principal components analysis |
Abstract: | This paper uses data from 141 countries to identify the variables that best characterize worldwide banking regulation and supervision practices. We apply a nonlinear principal components analysis with optimal variable transformation to deal with the variables’ mixed measurement levels and reduce data dimensionality. The robustness of the results is tested for different subsamples. The findings indicate that deposit insurance, liquidity, diversification requirements, complementary banking activities, and market discipline are the most reliable indicators to measure regulation. In contrast, resolution activities, the mandate of the head of the supervisory agency, and the report of prudential regulation infractions assume the same role for banking supervision. Capital requirements and ownership are of minor relevance and are sensitive to a country’s development level. China and Germany display the most distinct regulation practices, while China and the UK adopt the most stringent policies regarding supervision. |
Peerreviewed: | yes |
Access type: | Open Access |
Appears in Collections: | BRU-RI - Artigos em revistas científicas internacionais com arbitragem científica |
Files in This Item:
File | Size | Format | |
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article_97880.pdf | 6,84 MB | Adobe PDF | View/Open |
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