948 research outputs found
Effective power-law dependence of Lyapunov exponents on the central mass in galaxies
Using both numerical and analytical approaches, we demonstrate the existence
of an effective power-law relation between the mean Lyapunov
exponent of stellar orbits chaotically scattered by a supermassive black
hole in the center of a galaxy and the mass parameter , i.e. ratio of the
mass of the black hole over the mass of the galaxy. The exponent is found
numerically to obtain values in the range --. We propose a
theoretical interpretation of these exponents, based on estimates of local
`stretching numbers', i.e. local Lyapunov exponents at successive transits of
the orbits through the black hole's sphere of influence. We thus predict
with --. Our basic model refers to elliptical
galaxy models with a central core. However, we find numerically that an
effective power law scaling of with holds also in models with central
cusp, beyond a mass scale up to which chaos is dominated by the influence of
the cusp itself. We finally show numerically that an analogous law exists also
in disc galaxies with rotating bars. In the latter case, chaotic scattering by
the black hole affects mainly populations of thick tube-like orbits surrounding
some low-order branches of the family of periodic orbits, as well as its
bifurcations at low-order resonances, mainly the Inner Lindbland resonance and
the 4/1 resonance. Implications of the correlations between and to
determining the rate of secular evolution of galaxies are discussed.Comment: 27 pages, 19 figure
Identification of a Loan Supply Function: A Cross-Country Test for the Existence of a Bank Lending Channel
Using the theoretical predictions of the Bernanke-Blinder (1988) model, we seek to examine the existence of a bank lending channel through the empirical identification of a loan supply function and to assess the impact of differential bank characteristics on banks’ ability to supply loans. To this end, we estimate a loan supply model and test for the restrictions implied by perfect substitutability between loans and bonds in bank portfolios. Estimations are carried out on bank panel data for 16 OECD countries, the results showing that a bank lending channel is at work in only two of them. Moreover, and contrary to standard accounts, we find that the relevance of bank characteristics is hardly a decisive factor in the identification of a loan supply function.Bank lending channel; financial structure; dynamic panels
Bank Heterogeneity and Monetary Policy Transmission
The heterogeneity in the response of banks to a change in monetary policy is an important element in the transmission of this policy through banks. This paper examines the role of bank liquidity, capitalization and market power as internal factors influencing banks’ reaction in terms of lending and risk-taking to monetary policy impulses. The ultimate impact of a monetary policy change on bank performance is also considered. The empirical analysis, using large panel datasets for the United States and the euro area, elucidates the sources of differences in the response of banks to changes in policy interest rates by disaggregating down to the individual bank level. This is achieved by the use of a Local GMM technique that also enables us to quantify the degree of heterogeneity in the transmission mechanism. It is argued that the extensive heterogeneity in banks’ response identifies overlooked consequences of bank behavior and highlights potential monetary sources of the current financial distress.Monetary policy; Bank heterogeneity; Risk-taking; Bank performance
Bank heterogeneity and monetary policy transmission
Heterogeneity in the response of banks to a change in monetary policy is an important element in the transmission of this policy through banks. This paper examines the role of bank liquidity, capitalization and market power as internal factors influencing banks’ reaction in terms of lending and risk-taking to monetary policy impulses. The ultimate impact of a monetary policy change on bank performance is also considered. The empirical analysis, using large panel datasets for the United States and the euro area, elucidates the sources of differences in the response of banks to changes in policy interest rates by disaggregating down to the individual bank level. This is achieved by the use of a Local GMM technique that also enables us to quantify the degree of heterogeneity in the transmission mechanism. It is argued that the extensive heterogeneity in banks’ response identifies overlooked consequences of bank behavior and highlights potential monetary sources of the current financial distress. JEL Classification: E44, E52, G21, C14Bank heterogeneity, bank performance, monetary policy, Risk-taking
Bank-Level Estimates of Market Power
The aim of this study is to provide an empirical methodology for the estimation of market power of individual banks. The new method employs the well-known model of Panzar and Rosse (1987) and proposes its estimation using the local regression technique. Thus, a number of restrictive assumptions regarding the properties of the production function of banks are relaxed, while the method proves successful in providing reasonable estimates of bank-level market power when applied to a large panel of banks of transition countries. The empirical results suggest that many banks in the sample deviate significantly from competitive practices and that market power varies substantially across banks in each country. Country averages of the bank-level results exhibit a very close relationship with standard, industry-level Panzar-Rosse estimates.Bank output; Market power; bank-level; local regression
Bank-Specific, Industry-Specific and Macroeconomic Determinants of Bank Profitability
The aim of this study is to examine the effect of bank-specific, industry-specific and macroeconomic determinants of bank profitability, using an empirical framework that incorporates the traditional Structure-Conduct-Performance (SCP) hypothesis. To account for profit persistence, we apply a GMM technique to a panel of Greek banks that covers the period 1985-2001. The estimation results show that profitability persists to a moderate extent, indicating that departures from perfectly competitive market structures may not be that large. All bank-specific determinants, with the exception of size, affect bank profitability significantly in the anticipated way. However, no evidence is found in support of the SCP hypothesis. Finally, the business cycle has a positive, albeit asymmetric effect on bank profitability, being significant only in the upper phase of the cycle.Bank profitability; business cycles and profitability; dynamic panel data model
Exploring the Nexus between Banking Sector Reform and Performance: Evidence from Newly Acceded EU Countries
The aim of this study is to examine the relationship between banking sector reform and bank performance – measured in terms of efficiency, total factor productivity growth and net interest margin – accounting for the effects through competition and bank risk-taking. To this end, we develop an empirical model of bank performance and draw on recent econometric advances to consistently estimate it. The model is applied to bank panel data from ten newly acceded EU countries. The results indicate that both banking sector reform and competition exert a positive impact on bank efficiency, while the effect of reform on total factor productivity growth is significant only toward the end of the reform process. Finally, the effect of capital and credit risk on bank performance is in most cases negative, while it seems that higher liquid assets reduce the efficiency and productivity of banks.Bank performance; Banking sector reform; Competition; Risk-taking
Technical and Allocative Efficiency in European Banking
This paper specifies an empirical framework for estimating both technical and allocative efficiency, which is applied to a large panel of European banks over the years 1996 to 2003. Our methodology allows for self-consistent measurement of technical and allocative inefficiency, in an effort to address the issue known in the literature as the Greene problem. The results suggest that, on average, European banks exhibit constant returns to scale, that technical and allocative efficiency are close to 80% and 75% respectively, and that overall economic efficiency shows a clearly improving trend. We also show through the comparison of various estimators that models incorporating only technical efficiency tend to overestimate it.Technical and allocative efficiency; Translog cost function; Maximum likelihood; European banking
Analisis Konsistensi Perencanaan Dan Penganggaran Serta Implikasinya Terhadap Capaian Target Kinerja Pada Badan Perencanaan Pembangunan Daerah Kabupaten Merangin
. This study aimed to analyze the consistency between planning and budgeting as well as the gains at SKPD. Because planning and budgeting at SKPD greatly contributed to the success of the planning and budgeting in the city. SKPD who becomes the object of study is Badan Perencanaan Pembangunan Daerah Kabupaten Merangin. Assessment of consistency between the programs and activities carried out by using a document Matrik Konsolidasi Perencanaan dan Penganggaran (MKPP) and cause inconsistent by analyzing the results of indepth interviews. The analysis shows that the consistency between planning and budgeting documents at Bappeda Kabupaten Merangin been consistent. The highest consistency is documents RKA and DPA. The cause is not consistent is the Government\u27s strategic policy areas, political interest, fiscal capacity, lack of quality planning officials and the lack of commitment in maintaining the consistency of planning and budgeting. Analysis of performance achievements at Bappeda Kabupaten Merangin showed that in general the achievement of objectives, programs and activities in accordance with the target that has been set
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