The influence of capital requirement of Basel III adoption on banks' operating efficiency : evidence from U.S. banks
Gabriel A. Ogunmola, Fengsheng Chien, Ka Yin Chau, Li Li
The United States is recognized as the largest economic entity in the world and its financial system has developed steadily through the guidance of the Federal Reserve System for over one hundred years. However, in recent years, the global economic downturn, coupled with the global COVID-19 pandemic, has led to an unprecedented economic depression and rapid decline in the United States financial sector. Although the U.S. government has gradually instructed banks to raise the core quantity but a giant crisis under the economic depression is still present. This study thus takes U.S. commercial banks as the subject of research and employs the two-stage bootstrapped truncated regression to investigate the impacts of increases in required Core, Tier 1, and total capital adequacy ratios on their efficiency.
Year of publication: |
2022
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Authors: | Ogunmola, Gabriel ; Chien, Fengsheng ; Chau, Ka Yin ; Li, Li |
Published in: |
Journal of central banking theory and practice. - Warsaw : De Gruyter Open, ISSN 2336-9205, ZDB-ID 2675850-7. - Vol. 11.2022, 2, p. 5-26
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Subject: | Banking | Capital requirement | Operating efficiency | Two-stage DEA | Bootstrap | Technische Effizienz | Technical efficiency | Basler Akkord | Basel Accord | Data-Envelopment-Analyse | Data envelopment analysis | Bank | USA | United States |
Saved in:
freely available
Type of publication: | Article |
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Type of publication (narrower categories): | Aufsatz in Zeitschrift ; Article in journal |
Language: | English |
Other identifiers: | 10.2478/jcbtp-2022-0011 [DOI] hdl:10419/299039 [Handle] |
Classification: | N12 - U.S.; Canada: 1913- ; G32 - Financing Policy; Capital and Ownership Structure |
Source: | ECONIS - Online Catalogue of the ZBW |
Persistent link: https://www.econbiz.de/10013347004