Bank Competition, Banking Cost, Banking Market, Economies of Scale

Published in Journal

Journal of Advances and Scholarly Researches in Allied Education [JASRAE] (Vol:15/ Issue: 12) DOI: 10.29070/JASRAE
Authors: Dilip Kumar Jha*,
Subjects: Multidisciplinary Academic Research

Year: Dec, 2018
Volume: 15 / Issue: 12
Pages: 598 - 603 (6)
Publisher: Ignited Minds Journals
Source:
E-ISSN: 2230-7540
DOI:
Published URL: http://ipublisher.in/I/a/200764
Published On: Dec, 2018

Article Details

Bank Competition, Banking Cost, Banking Market, Economies of Scale | Original Article

Dilip Kumar Jha*, in Journal of Advances and Scholarly Researches in Allied Education | Multidisciplinary Academic Research

Download PDF

View PDF

ABSTRACT:

Competition in banking is entirely different from other sectors of the economy due to the special function of banks in the financial system. The standard competition paradigm in favour of competition regarding cost minimization and allocative efficiency is not entirely valid for banking because many market failures distort the nature of competition and its outcomes. The uniqueness and fragility of banks, business models in banking and competition paradigm in banking is discussed. Finally, the different reviews of competition frequently used in the empirical literature on banking are studied.