Interaction between Franchise Value and the Risk-taking Behaviors of Commercial Banks

被引:0
|
作者
Xiao Weiguo [1 ]
Hong Sisi [1 ]
机构
[1] Wuhan Univ, Econ & Management Sch, Wuhan 430072, Peoples R China
关键词
Franchise value; Risk-taking behavior; Commercial bank of China; DEPOSIT INSURANCE;
D O I
暂无
中图分类号
F [经济];
学科分类号
02 ;
摘要
This paper is mainly about the interaction of the franchise value and the risk-taking behaviors of commercial banks. We observe the trend of franchise value of selected banks and develop an empirical model to investigate the relationship by using the quarterly data from 2005 to 2009. Negative correlation between franchise value and the risk levels of banks is proved to exist. We suggest that the banks should maintain their franchise value for credibility and the interplay between franchise value and risk-taking behaviors ought to be strengthened to avoid excessive risk taking.
引用
收藏
页码:378 / 381
页数:4
相关论文
共 50 条
  • [1] Moral hazard and risk-taking incentives in Islamic banks, does franchise value matter!
    Mili, Mehdi
    Abid, Sami
    INTERNATIONAL JOURNAL OF ISLAMIC AND MIDDLE EASTERN FINANCE AND MANAGEMENT, 2017, 10 (01) : 42 - 59
  • [2] Charter value, official implicit insurance and risk-taking behaviors of Chinese banks
    Li Yanping
    Han Liyan
    TIRMDCM 2007: PROCEEDINGS OF THE FIRST INTERNATIONAL CONFERENCE ON TECHNOLOGY INNOVATION, RISK MANAGEMENT AND SUPPLY CHAIN MANAGEMENT, VOLS 1 AND 2, 2007, : 309 - 313
  • [3] Multiple large shareholders and risk-taking of commercial banks
    Cao, Lei
    Zhai, Shengbao
    Xie, Lu
    Li, Yujie
    APPLIED ECONOMICS LETTERS, 2025,
  • [4] Research on the Impact of Financing Liquidity on Risk-taking of Commercial Banks
    Bu, Yumeng
    2018 2ND AASRI INTERNATIONAL CONFERENCE ON INTELLIGENT SYSTEMS AND CONTROL (ISC 2018), 2019, 267
  • [5] The Impact of Competition on the Profitability and Risk-Taking of Commercial Banks in India
    Rastogi, Shailesh
    Kanoujiya, Jagjeevan
    Bhimavarapu, Venkata Mrudula
    Gautam, Rahul Singh
    JOURNAL OF ASIAN FINANCE ECONOMICS AND BUSINESS, 2022, 9 (05): : 377 - 388
  • [6] Research on the impact of financial technology on risk-taking of commercial banks
    Li, Chengyou
    Li, Yuxin
    Xu, Yun
    Sun, Guanglin
    RESEARCH IN INTERNATIONAL BUSINESS AND FINANCE, 2025, 76
  • [7] The impact of bank FinTech on commercial banks' risk-taking in China
    Wu, Xin
    Jin, Tianhe
    Yang, Keng
    Qi, Hanying
    INTERNATIONAL REVIEW OF FINANCIAL ANALYSIS, 2023, 90
  • [8] Dynamics of diversification and banks' risk-taking and stability: Empirical analysis of commercial banks
    Abbas, Faisal
    Ali, Shoaib
    MANAGERIAL AND DECISION ECONOMICS, 2022, 43 (04) : 1000 - 1014
  • [9] Research on monetary policy uncertainty and commercial banks' risk-taking
    Li L.
    Huang X.
    Xitong Gongcheng Lilun yu Shijian/System Engineering Theory and Practice, 2022, 42 (04): : 847 - 864
  • [10] Charter value and risk-taking: evidence from Indian banks
    Ghosh, Saibal
    JOURNAL OF THE ASIA PACIFIC ECONOMY, 2009, 14 (03) : 270 - 286