Joaquín Maudos - Academia.edu (original) (raw)

Papers by Joaquín Maudos

The aim of this study is to analyse labour productivity convergence in the OECD countries over th... more The aim of this study is to analyse labour productivity convergence in the OECD countries over the period 1975± 90. A nonparametric frontier approach is used to calculate the Malmquist productivity index. By breaking it down, the contribution in the growth of labour productivity of technical progress, of changes in e ciency, and of the accumulation of inputs per worker are quanti® ed. Unlike other studies, the results obtained show that technical change has worked against labour productivity convergence, since it has always been greater in the countries with higher labour productivity. 1 Dowrick and Nguyen (1989) , using aggregated data, o er evidence that convergence in TFP (residually de® ned) has systematically been the main source of convergence in labour productivity during the period 1950± 85. documented the existence of TFP convergence in industrial sectors during the period 1963± 85, and attributed to it the greatest part of convergence in labour productivity levels. However, in this case the phenomenon is not systematic, as on the contrary, the process was especially intense during the period 1963± 72, becoming more moderate from 1973 onwards. For their part, Bernard and Jones (1996a, 1996b) highlight the existence of convergence in TFP during the period 1977± 88, although with exceptions such as the manufacturing sector.

En los últimos años, la economía española ha experimentado un importante desarrollo al que no ha ... more En los últimos años, la economía española ha experimentado un importante desarrollo al que no ha sido ajeno el sector bancario. La transformación que ha sufrido la banca española se pone de manifiesto en aspectos tan importantes como la composición, dimensión y actividad del sector, la especialización productiva, la mejora de la eficiencia, la evolución de la competencia o su internacionalización, entre otros. En este contexto, la presente monografía analiza la evolución reciente del sector bancario español (SBE) en el contexto europeo, así como los retos futuros a los que se enfrenta, y permite señalar sus fortalezas y debilidades. Las principales conclusiones del estudio indican que, en relación con la banca europea, la solidez de la banca española reside en su mayor eficiencia y rentabilidad, su elevada solvencia, su menor tasa de morosidad y su mayor nivel de provisiones. A pesar de la fortaleza del SBE, el actual clima de incertidumbre que afecta a los mercados financieros, la ...

Applied Economics

This article analyses the importance of different technological inputs (R&D and human capital) an... more This article analyses the importance of different technological inputs (R&D and human capital) and different spillovers in explaining the differences in patenting among Spanish regions in the period 1986 to 2003. The analysis is based on the estimation of a knowledge production function. A region's own R&D activities and human capital are observed to have a positive significant effect on innovation output, measured by the number of patents. R&D spillovers weighted by the distance and the volume of trade flows between regions cause positive effects on a region's patents. However, distance matters more than the intensity of trade flows and the R&D spillover effects between regions are bounded: spillovers from closer regions perform better than spillovers from distant regions. On the opposite side, human capital spillovers do not cause any effect outside the region itself.

Applied Economics Letters

From a model of imperfect competition among banking firms, this study derives an analytical expre... more From a model of imperfect competition among banking firms, this study derives an analytical expression that allows empirical quantification of the welfare loss associated with imperfect competition. Its application to the specific case of the European banking system shows that in spite of the process of deregulation, market power increased during the 1990s in 10 out of the 15 countries of the EU. The welfare loss associated with market power represents close to 2.5% of EU GDP.

Journal of Financial Services Research

We analyze the evolution of market power in the main banking sectors of the European Union. The e... more We analyze the evolution of market power in the main banking sectors of the European Union. The evolution of the relative margins does not show an increase in the degree of competition within the EU. The explanatory factors of the relative margins most directly related to market power are not significant, and even have a negative influence (concentration in the deposits market). The size and efficiency of banks, default risk, and the economic cycle have a notable capacity to explain the behavior of the market power. The results show the inadequacy of using concentration measures as proxy for the competition environment in banking markets.

Journal of Banking & Finance

Real estate data are often characterized by data irregularities: missing data, censoring or trunc... more Real estate data are often characterized by data irregularities: missing data, censoring or truncation, measurement error, etc. Practitioners often discard missing- or censored-data cases and ignore measurement error. We argue here that an attractive remedy for these irregularity problems is simulation-based model fitting using the Gibbs sampler. The style of the paper is primarily pedagogic, employing a simple illustration to convey the essential ideas, unobscured by implementation complications. Focusing on the missing-data problem, we show dramatic improvement in inference by retaining rather than deleting cases of partially observed data. We also detail Gibbs-sampler usage for other data problems. Copyright American Real Estate and Urban Economics Association.

National Institute Economic Review

Financial crises, and in particular those of the past few years, have severe consequences for the... more Financial crises, and in particular those of the past few years, have severe consequences for the affected economies. In this paper we analyse the impact of financial development and European financial integration on growth and we find no reversal of the growth benefits of financial development and integration in recent years. This highlights the economic cost of regulatory changes that would reverse European financial integration. We also find that, following a financial crisis, investment declines more in countries with a greater degree of uncertainty aversion, which can be informative for evaluating post-crisis economic performance.

There has been a notable debate in the banking literature on the impact of bank competition on fi... more There has been a notable debate in the banking literature on the impact of bank competition on financial stability. While the dominant view sees a detrimental impact of competition on the stability of banks, this view has recently been challenged by Boyd and De Nicolo (2005) who see the reverse effect. The aim of this paper is to contribute to this literature by providing the first empirical investigation of the role of bank competition on the occurrence of bank failures. We analyze this issue based on a large sample of Russian banks over the period 2001-2007 and in line with the previous literature we employ the Lerner index as the metric of bank competition. Our findings clearly support the view that tighter bank competition enhances the occurrence of bank failures. The normative implication of our findings is therefore that measures that increase bank competition could undermine financial stability.

European Journal of Finance

The aim of this paper is to analyse the effect of banking competition on industry economic growth... more The aim of this paper is to analyse the effect of banking competition on industry economic growth using both structural measures of competition and measures based on the new empirical industrial organisation perspective. The evidence obtained in the period 1993-2003 for a sample of 53 sectors in 21 countries indicates that financial development promotes economic growth. The results also show that bank monopoly power has an inverted-U-shaped effect on economic growth, suggesting that bank market power has its highest growth effect at intermediate values. The latter result is consistent with the literature on relationship lending, which argues that bank competition can have a negative effect on the availability of finance for companies that are informationally more opaque.

This study analyses the interest margin in the principal European banking sectors (Germany, Franc... more This study analyses the interest margin in the principal European banking sectors (Germany, France, the United Kingdom, Italy and Spain) in the period 1993–2000 using a panel of 15,888 observations, identifying the fundamental elements affecting this margin. Our starting point is the methodology developed in the original study by Ho and Saunders [Journal of Financial and Quantitative Analysis XVI (1981) 581–600] and later extensions, but widened to take banks' operating costs explicitly into account. Also, unlike the usual practice in the literature, a direct measure of the degree of competition (Lerner index) in the different markets is used. The results show that the fall of margins in the European banking system is compatible with a relaxation of the competitive conditions (increase in market power and concentration), as this effect has been counteracted by a reduction of interest rate risk, credit risk, and operating costs.

Resumen Este trabajo analiza la relación existente entre la dimensión bancaria, el poder de merca... more Resumen Este trabajo analiza la relación existente entre la dimensión bancaria, el poder de mercado y la estabilidad financiera, aportando evidencia empírica a partir de un panel de datos que comprende bancos de toda la UE-25, Canadá, Estados Unidos y Japón en el periodo 2001-08. Para ello, se repasan las dos hipótesis alternativas del efecto de la competencia bancaria sobre la estabilidad financiera. Los resultados muestran que existe una relación en forma de U invertida entre el tamaño de las entidades y el poder de mercado, por lo que el efecto positivo del tamaño presenta un máximo (que se corresponde con un valor del activo relativamente reducido) a partir del cual afecta negativamente. Respecto a la estabilidad financiera, un crecimiento en el poder de mercado conduce a una mayor estabilidad, lo que da soporte a la visión más tradicional de que un exceso de competencia en los mercados bancarios puede ser perjudicial para la estabilidad financiera. Los resultados también indica...

Manchester School

The aim of the study is to analyse the explanatory factors of market power in the banking system.... more The aim of the study is to analyse the explanatory factors of market power in the banking system. Using as laboratory the Spanish banking system in the period 1986-2002, results show an increase of market power from the mid-1990s. Of the set of variables that the model posits as explaining market power, those with the greatest explanatory power are size, efficiency and specialization; concentration is not significant. This last result shows the limitations of the approaches, studies and decision-making rules of economic policy that uses market concentration as a proxy for the degree of competition. Copyright © 2007 The Authors; Journal compilation © 2007 Blackwell Publishing Ltd and The University of Manchester.

Journal of Business Economics and Management, 2014

ABSTRACT Early studies testing the quiet life hypothesis in banking found strong evidence that ba... more ABSTRACT Early studies testing the quiet life hypothesis in banking found strong evidence that banks in more concentrated markets exhibit lower cost efficiency levels. More recent studies have reexamined the issue in different contexts with mixed results. These approaches are based on stipulating a linear relationship between market power and efficiency in banking, which might be problematic, as suggested by the literature on efficiency analysis. We explore how bank cost efficiency measures are related to market power using flexible techniques, which are more consistent with those employed to measure efficiency in the first stage of the analysis. Our study focuses on the Spanish banking industry, which has been experiencing substantial change in the last few years, combining institutions with different ownership structures and business models. Results show that the relationship varies according to the level of market power, the component of efficiency evaluated (cost, technical or allocative) and the type of banking firm (commercial bank or savings bank), suggesting that the quiet life might be a reality only for some financial institutions.