This study endeavours at measuring bank competition in Indian loan market using a new competitiveness index, the Augmented Relative Profit Difference (ARPD), which quantifies the impact of marginal costs on performance, measured in terms of market shares. This study yields two major insights....

This study endeavours at measuring bank competition in Indian loan market using a new competitiveness index, the Augmented Relative Profit Difference (ARPD), which quantifies the impact of marginal costs on performance, measured in terms of market shares. This study yields two major insights....

We characterize the changes in credit quality of a large sample of listed Indian corporates. Multiple indicators suggest that credit quality declines sharply between 2010 and 2015, creating a thick tail of vulnerable corporate debt. Stress is primarily due to a sharp contraction in aggregate...

If banks solve an inter-temporal problem under adverse selection and moral hazard, then bank specific factors, regulatory and supervisory features, market structure, and macroeconomic factors can be expected to affect banks’ loan interest rates and their spread over deposit interest rates. To...

In explaining economic phenomena, economic analysis concentrates on selected influences and fixes the host of other factors under a ceteris paribus clause. This view, which goes back to Alfred Marshall (1842-1924), is developed in the first part of the book. Aggregation is viewed as a particular...

Life annuities provide a guaranteed income for the remainder of the recipient’s lifetime, and therefore, annuitization presents an important option when choosing an adequate investment strategy for the retirement ages. While there are numerous research articles studying annuities from a...

Even 50 years after Modigliani/Miller’s irrelevance theorem, the basic question of how firms choose their capital structure remains unclear. This survey paper aims at summarizing and discussing corresponding recent developments in empirical capital structure research, which, in our view, are...