TRŽIŠNA KONCENTRACIJA BANAKA I NEZAPOSLENOST: EVIDENCIJA NA TRŽIŠTU BANAKA BOSNE I HERCEGOVINE I SRBIJE
MARKET CONCENTRATION OF BANKS AND UNEMPLOYMENT: EVIDENCE FROM THE BANK MARKETS IN BOSNIA AND HERZEGOVINA AND SERBIA
Subject(s): National Economy, Financial Markets
Published by: Udruženje banaka Srbije p.u.
Keywords: stationarity; Hirschmann-Herfindahl index; unemployment rate; lending activity
Summary/Abstract: The paper focuses on researching the relationship between the concentration of the banking systems of Bosnia and Herzegovina and Serbia and the impact of employment/unemployment in both countries. The main tasks and objectives of the research are to determine the impact of internal bank factors on employment/unemployment and to identify the effects of internal factors on the unemployment rate. In this survey, we used the unemployment rate as the dependent variable, while the HHI index of concentration, the rate of growth of total banking assets, the growth rate of liquid assets relative to total assets will be used as independent variables. In order to study the cointegration of variables, the method of automatic regression distribution, as well as the method of correlation and regression, were used. The research period covers the period from 2008q1 to 2018q4. The results of the survey showed that the most significant impact of reducing unemployment could be exerted by the following independent variables: the growth rate of total loans, the growth rate of banking assets, the concentration of loans and deposits (especially the case of banks in B&H). On the other hand, the excessive volume of liquid assets to total assets above the legal minimum can have a negative impact on economic growth and employment.
- Issue Year: 48/2019
- Issue No: 2
- Page Range: 32-59
- Page Count: 28
- Language: English, Serbian