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Can I read An Economic Evaluation of Targeted Reserve Requirement Ratio Reduction on Bank Ecosystem Development on EtoBox?
An Economic Evaluation of Targeted Reserve Requirement Ratio Reduction on Bank Ecosystem Development by Lihui Xiong; Jiaqi Fang is a Business, Management and Accounting article available to read on EtoBox.
What is An Economic Evaluation of Targeted Reserve Requirement Ratio Reduction on Bank Ecosystem Development about?
In China’s bank-centered financial and economic environment, bank risk attitudes have an important impact on the effective implementation of structural monetary policy, and monetary policy can have an impact on the corporate ecosystem through risk taking by banks. To make an economic assessment of the evolution of the banking ecosystem and empirically explore the correlation between targeted Reserve Requirement Ratio (RRR) cuts and banks’ risk-taking levels in the context of financial supply-side structural reforms, this paper uses multiple regression analysis and a fixed-effects model to analyze the causal impact of targeted RRR reduction on the risk taking of Chinese commercial banks. In addition, it uses the mediation effect model to analyze the mechanism. Results show that targeted RRR cuts have significantly increased the level of risk taking of commercial banks. The findings are pronounced in urban commercial banks. However, the leverage ratio regulation has a restraining effect on the level of risk taking of banks. This study provides an effective economic evaluation for the benign development of the banking ecosystem under the environment of government policy supervision. F
Who reads An Economic Evaluation of Targeted Reserve Requirement Ratio Reduction on Bank Ecosystem Development?
It is typically read by researchers, students, and practitioners in Business, Management and Accounting.
- Author
- Lihui Xiong; Jiaqi Fang
- Publisher
- MDPI AG
- Published
- 2022
- Language
- EN
- Field
- Business, Management and Accounting (Social Sciences)