log using L:\Luc\Research\BankCompetition\supervision_jmcb, replace set matsize 500 use "L:\Luc\Research\BankCompetition\sup_jmcb.dta", clear ************************************ Summary Statistics *************************** *** Table 2 *** sort countryn tabstat nim9599 conc3 conc5 conc concent lasset95 liquid95 equity95 fee95 over9599 mshare95 roastdev, by(countryn) tabstat nim9599, stats(count) by(countryn) tabstat suppower supindep infodisc moralhaz a_gdpcap tvt95 a_infl a_gdpgr kkl_98 f_total f_property frac_ent entryfit restrict res_req f_banking fbankown stateown, by(countryn) *** Table 3 **** summ nim9599 conc3 conc5 conc concent lasset95 liquid95 equity95 fee95 over9599 mshare95 roastdev suppower supindep infodisc moralhaz a_gdpcap tvt95 a_infl a_gdpgr kkl_98 f_total f_property frac_ent entryfit restrict res_req f_banking fbankown stateown ************************************ Correlation matrix ************************** pwcorr nim9599 conc3 lasset95 liquid95 equity95 fee95 suppower supindep infodisc moralhaz a_gdpcap tvt95 a_infl a_gdpgr kkl_98 f_total f_property, star(.05) pwcorr conc3 conc5 conc concent, star(.01) **************************************************************************** ** ** ** Table 4 ** ** Controlling for the bank supervisory strategies ** ** ** **************************************************************************** ** Net interest margins ** xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 suppower, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 supindep, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 suppower supindep suppower_indep, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 infodisc moralhaz info_moral, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append ** Add market share ** xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 suppower, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 supindep, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1.doc, nolabel coefastr se 3aster append * Without conc3 * ** Net interest margins ** xtreg nim9599 lasset95 liquid95 equity95 fee95 suppower, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster replace xtreg nim9599 lasset95 liquid95 equity95 fee95 supindep, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 lasset95 liquid95 equity95 fee95 infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 lasset95 liquid95 equity95 fee95 moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 lasset95 liquid95 equity95 fee95 suppower supindep suppower_indep, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 lasset95 liquid95 equity95 fee95 infodisc moralhaz info_moral, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 lasset95 liquid95 equity95 fee95 suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append ** Add market share ** xtreg nim9599 mshare95 lasset95 liquid95 equity95 fee95 suppower, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 mshare95 lasset95 liquid95 equity95 fee95 supindep, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 mshare95 lasset95 liquid95 equity95 fee95 infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 mshare95 lasset95 liquid95 equity95 fee95 moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append xtreg nim9599 mshare95 lasset95 liquid95 equity95 fee95 suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout1a.doc, nolabel coefastr se 3aster append **************************************************************************** ** ** ** Table 5 ** ** Controlling for the Macro Environment and Supervisory Strategies ** ** ** **************************************************************************** ** Net interest margins ** xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl suppower, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl supindep, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append ** Add market share ** xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl suppower, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl supindep, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout2.doc, nolabel coefastr se 3aster append **************************************************************************** ** ** ** Table 6 ** ** Controlling for the Supervision and Institutional Setting ** ** ** **************************************************************************** ** Net interest margins ** xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap supindep, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append ** Add market share ** xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap supindep, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3.doc, nolabel coefastr se 3aster append * Property rights instead of gdp per capita * ** Net interest margins ** xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl f_property suppower, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl f_property supindep, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl f_property infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl f_property moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl f_property suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append ** Add market share ** xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl f_property suppower, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl f_property supindep, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl f_property infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl f_property moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 a_infl f_property suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout3a.doc, nolabel coefastr se 3aster append ********************************************************************************* ** ** ** Table 7 ** ** Robustness -- Controlling for bank risk ** ** ** ********************************************************************************* * Bank risk: volatility of asset returns, average period 1995-99 xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 roastdev a_infl a_gdpcap suppower, re outreg using L:\Luc\Research\BankCompetition\Supout4.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 roastdev a_infl a_gdpcap supindep, re outreg using L:\Luc\Research\BankCompetition\Supout4.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 roastdev a_infl a_gdpcap infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout4.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 roastdev a_infl a_gdpcap moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout4.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 mshare95 lasset95 liquid95 equity95 fee95 roastdev a_infl a_gdpcap suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout4.doc, nolabel coefastr se 3aster append ********************************************************************************* ** ** ** Table 8 ** ** Robustness -- Sample size ** ** ** ********************************************************************************* ********************************************************************************* ** a. Drop small countries ** ********************************************************************************* restore preserve ren officialpc suppower ren privateindexpc infodisc ren bmoralhazard moralhaz gen suppower_indep=suppower*supindep * drop outliers drop if nim9599<=.69 drop if nim9599>=12.829 * drop selected countries drop if countryn=="CHINA-PEOPLE'S REP." drop if countryn=="PUERTO RICO" drop if countryn=="MACAU" * Drop countries with less than 1 mln population drop if pop9599<=1000000 * Drop countries when population figures are missing drop if pop9599==. xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower, re outreg using L:\Luc\Research\BankCompetition\Supout5.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap supindep, re outreg using L:\Luc\Research\BankCompetition\Supout5.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout5.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout5.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout5.doc, nolabel coefastr se 3aster append ********************************************************************************* ** b. Drop countries with 3 or less than 3 banks ** ********************************************************************************* restore preserve ren officialpc suppower ren privateindexpc infodisc ren bmoralhazard moralhaz gen suppower_indep=suppower*supindep * drop outliers drop if nim9599<=.69 drop if nim9599>=12.829 * drop selected countries drop if countryn=="CHINA-PEOPLE'S REP." drop if countryn=="PUERTO RICO" drop if countryn=="MACAU" * Drop countries when population figures are missing (Cayman Islands and Liechtenstein) drop if pop9599==. * Drop countries with three or less than three banks drop if countryn=="BELARUS" drop if countryn=="BURUNDI" drop if countryn=="CAYMAN ISLANDS" drop if countryn=="CYPRUS" drop if countryn=="EGYPT" drop if countryn=="ESTONIA" drop if countryn=="GHANA" drop if countryn=="HONDURAS" drop if countryn=="ICELAND" drop if countryn=="IRELAND" drop if countryn=="JAMAICA" drop if countryn=="LIECHTENSTEIN" drop if countryn=="LITHUANIA" drop if countryn=="MACEDONIA (FYROM)" drop if countryn=="MOLDOVA REP. OF" drop if countryn=="MOROCCO" drop if countryn=="ROMANIA" drop if countryn=="RWANDA" xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower, re outreg using L:\Luc\Research\BankCompetition\Supout6.doc, nolabel coefastr se 3aster replace xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap supindep, re outreg using L:\Luc\Research\BankCompetition\Supout6.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap infodisc, re outreg using L:\Luc\Research\BankCompetition\Supout6.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout6.doc, nolabel coefastr se 3aster append xtreg nim9599 conc3 lasset95 liquid95 equity95 fee95 a_infl a_gdpcap suppower supindep infodisc moralhaz, re outreg using L:\Luc\Research\BankCompetition\Supout6.doc, nolabel coefastr se 3aster append restore /*clear all*/ log close