Banking
Meysam Amiri; samira farahani
Abstract
In recent decades, the functioning of financial markets and banks have undergone significant changes, and many institutions similar to the functioning of traditional banks have grown outside the regulatory structure of the central bank, which is referred to as shadow banking. Instead of focusing on the ...
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In recent decades, the functioning of financial markets and banks have undergone significant changes, and many institutions similar to the functioning of traditional banks have grown outside the regulatory structure of the central bank, which is referred to as shadow banking. Instead of focusing on the traditional activities of traditional banks, shadow banking uses a more diverse set of resources and tools and it has been able to create changes in economic risks and also be effective in the changes and economic policies of countries. In this study, in order to estimate shadow banking and its relationship with traditional banking, between 2011 and 2021, the modeling of the money demand function in the framework of a system of simultaneous equations was used along with the MeinflexLarent function, which has flexibility. Also, according to the discussion of variance of heterogeneity, BEKK GARCH model was used to estimate the model to help solve the existing heteroscedasticity. The investigations and results of this research show that during the last decade, shadow banking has grown at an increasing rate, and in the last decade, conventional banking and shadow banking replaced each other based on Morishima's substitutability elasticity index. Also, the results show that the spillover effect of short-term deposit shocks and fixed income funds on Islamic bonds is positive, incremental and significant.On the other hand, the effect of the series of shocks of fixed income funds on cash and short-term deposits has been meaningless.
Banking
Mohammad Javad Nourahmadi; Amir Khademalizadeh; Mohammad Bagher Shirmehenji
Abstract
Studies conducted on the relationship between central bank independence and inflation show heterogeneity in the results. Some of these studies have concluded a negative relationship, while others have concluded a positive or insignificant relationship between central bank independence and inflation. ...
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Studies conducted on the relationship between central bank independence and inflation show heterogeneity in the results. Some of these studies have concluded a negative relationship, while others have concluded a positive or insignificant relationship between central bank independence and inflation. The purpose of this study is to conduct a multilevel meta-analysis to examine the effect of central bank independence on inflation. For this purpose, all full-text articles that examined the relationship between central bank independence and inflation were reviewed. After reviewing the content and results, 58 studies were selected to enter the meta-analysis based on the meta-analysis protocol. Data from 58 selected studies included 619 regressions and 913 coefficients that were extracted and coded. In the first level of meta-analysis, the regression coefficients of each study were combined and the effect size of each study was calculated. In the second level of meta-analysis, to calculate the total effect size, the effect size of 58 studies was determined according to the weight of each study. The result of the combination and conclusion of individual studies shows that the independence of the central bank has a small negative and significant effect on inflation. The results also showed that the type of index used to calculate the degree of central bank independence affects the relationship under meta-analysis. In addition, the negative effect of central bank independence on inflation is greater in developed countries than in other countries.
Banking
Farshad Momeni; Abbas Shakeri; Javad Taherpoor; Behnam Ezati Ekhtiar
Abstract
In some economic theories emphasizing the positive relationship between financial and real sector development in economy, privatization of financial markets and institutions and increasing private sector share is the dominant approach to financial development. However, private banks performance in some ...
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In some economic theories emphasizing the positive relationship between financial and real sector development in economy, privatization of financial markets and institutions and increasing private sector share is the dominant approach to financial development. However, private banks performance in some countries have shown different results compared to the goals had been set. Lack of proper economic and institutional environment has led to adverse results of private banks. Considering mentioned issues, this study aims to assess the impact of private banking on the economic growth rate in Iran based on the seasonal data form 2003 till 2018 using Autoregressive Distributed Lag (ARDL) technique. Results of the study have shown that financial development has a positive impact on the growth rate of economy, while, as the market share of private banks has increased, it had a negative effect on the economic growth. The main cause of this negative relationship is undesirable institutional environment which private banks are working in. Therefore, preparing suitable institutional framework is a condition to gain the private banks’ advantages. Central bank constant supervision alongside the enforcement authority prohibiting private banks from managing economic firms and the presence in the alternative markets are the main preconditions.
