Hung, C-HD, Jiang, Y orcid.org/0000-0002-7817-4145, Liu, FH et al. (1 more author) (2018) Competition or manipulation? An empirical evidence of determinants of the earnings persistence of the U.S. banks. Journal of Banking and Finance, 88. pp. 442-454. ISSN 0378-4266
Abstract
We examine the impact of competition on bank earnings persistence by exploiting a natural experiment following interstate banking deregulation that increased bank competition. We find that bank earnings adjustment speed increases after their states implement the deregulation. This relationship is weakened, however, with the increase of bank's abilities to sustain earnings, as reflected in size, diversification, managerial efficiency and safety. We further find that the impact of compeititon on bank earnings adjustment speed is direct but not indirectly through the channel of earnings management.
Metadata
Item Type: | Article |
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Authors/Creators: |
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Copyright, Publisher and Additional Information: | Copyright (c) 2018 Elsevier B. V. All rights reserved. This is an author produced version of a paper published in Journal of Banking & Finance. Uploaded in accordance with the publisher's self-archiving policy |
Keywords: | Competition; Geographic expansion index; Earnings persistence; Earnings adjustment speed, Earnings management |
Dates: |
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Institution: | The University of Leeds |
Academic Units: | The University of Leeds > Faculty of Business (Leeds) > Accounting & Finance Division (LUBS) (Leeds) |
Depositing User: | Symplectic Publications |
Date Deposited: | 08 Feb 2018 10:58 |
Last Modified: | 31 Jul 2019 00:41 |
Status: | Published |
Publisher: | Elsevier |
Identification Number: | 10.1016/j.jbankfin.2018.01.010 |
Open Archives Initiative ID (OAI ID): | oai:eprints.whiterose.ac.uk:127115 |
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