AN EMPIRICAL STUDY OF CORRELATION BETWEEN NET ASSETS AND OWN FUNDS IN THE ROMANIAN BANKING SYSTEM DURING 2001-2008

In this paper we explore the correlation between net assets and own funds in theRomanian banking system during 2001-2008. We based our approach on the Pearson correlationcoefficient and we realized an empirical study, which demonstrates how the relevant elements of thecapital ratio are connected. The study puts forward the concept that the banking capital adequacyis a subject of great significance to bankers, shareholders and depositors, and of course to banksupervision and central banks.