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Focuses on the following three areas: (1) the impact of interstate banking on the structure of the banking industry; (2) the implications of removing interstate banking and branching laws on the safety and soundness of the banking industry; and (3) the risks associated with removing interstate banking and branching laws and ways to minimize such risks. Charts and tables.
First published in 1996. Routledge is an imprint of Taylor & Francis, an informa company.
Examines the impact of switching primary federal regulators on banks¿ return and risk, using data from 1977 to 2001. Return increases and risk changes minimally for banks that switch regulators from 1992 to 2003, while there is no significant change in either return or risk for banks switching earlier. The improved performance at banks switching between 1992 and 2003 is evidence for beneficial competition among regulators, and the absence of an increase in risk throughout the sample period is inconsistent with a ¿race for the bottom¿ among regulators. Tables and graphs.