@article{jfe2015313,
author={{Hassene, BEN MBAREK and Kais, BEN MBAREK and Souad, KHEMIRI},
title={Regulation, Market Structure, Risk and Bank Profitability in the Emerging Countries during the Subprime Crisis},
journal={Journal of Finance and Economics},
volume={3},
number={1},
pages={15--19},
year={2015},
url={http://pubs.sciepub.com/jfe/3/1/3},
issn={2328-7276},
abstract={The aim of this paper is to study the effect of the regulatory and institutional environment on banking behavior using a panel of conventional banks in 10 emerging countries over the period 2007-2012. To this end, we adopt a simultaneous equations model to capture the dynamic adjustments of banking behavior and efficiency. The results indicate that there is a negative and significant impact of institutional quality on equity and risk. However, we find a positive and significant impact of the institutional environment on banking efficiency indicating the effectiveness of equity regulation insofar as it helped to increase the strength and stability of the international banking system. The imposition of regulatory requirements reduces credit risk and highlights the importance of market discipline as a crucial element in implementing effective regulation and supervision strategies.},
doi={10.12691/jfe-3-1-3}
publisher={Science and Education Publishing}
}