From: Size matters: analyzing bank profitability and efficiency under the Basel III framework
ROA—dep. var | All banks | Large and medium banks only | Small banks only | ||||||
---|---|---|---|---|---|---|---|---|---|
[1] | [2] | [3] | [4] | [5] | [6] | [7] | [8] | [9] | |
Variables | ROA_all_B_baseline | ROA_all_B_EMU | ROA_all_B_EU15 | ROA_LM_B_baseline | ROA_LM_B_EMU | ROA_LM_B_EU15 | ROA_SMALL_B_baseline | ROA_SMALL_B_EMU | ROA_SMALL_B_EU15 |
L.ROA | 0.444*** | 0.478*** | 0.478*** | 0.193*** | 0.235*** | 0.211*** | 0.504*** | 0.532*** | 0.520*** |
[4.403] | [4.962] | [4.962] | [3.392] | [4.377] | [2.736] | [4.859] | [4.286] | [4.377] | |
(0.101) | (0.096) | (0.096) | (0.057) | (0.054) | (0.077) | (0.104) | (0.124) | (0.119) | |
EFF_all_banks | 0.007* | 0.013*** | 0.013*** | ||||||
[1.646] | [4.009] | [4.009] | |||||||
(0.004) | (0.003) | (0.003) | |||||||
EFF_L&M_banks | 0.024*** | 0.023*** | 0.024*** | ||||||
[4.002] | [4.123] | [3.892] | |||||||
(0.006) | (0.006) | (0.006) | |||||||
EFF_small_banks | 0.051*** | 0.041*** | 0.039*** | ||||||
[3.227] | [2.951] | [3.119] | |||||||
(0.016) | (0.014) | (0.012) | |||||||
LIQ | 0.005 | 0.016** | 0.016** | 0.002 | 0.002 | 0.003 | 0.020 | 0.012 | 0.010 |
[0.880] | [1.994] | [1.994] | [0.873] | [0.799] | [1.130] | [1.075] | [0.941] | [0.718] | |
(0.006) | (0.008) | (0.008) | (0.003) | (0.002) | (0.003) | (0.019) | (0.013) | (0.014) | |
LTR | − 0.001** | − 0.001*** | − 0.001*** | − 0.002*** | − 0.002*** | − 0.002*** | − 0.000 | − 0.000 | − 0.001 |
[− 2.069] | [− 3.413] | [− 3.413] | [− 5.961] | [− 5.533] | [− 5.387] | [− 0.021] | [− 0.058] | [− 0.812] | |
(0.001) | (0.0004) | (0.0004) | (0.000) | (0.000) | (0.000) | (0.001) | (0.001) | (0.001) | |
GDPG | 0.001** | 0.0004** | 0.0004** | 0.001*** | 0.001*** | 0.001*** | 0.000 | 0.000 | 0.000 |
[2.555] | [2.310] | [2.310] | [3.411] | [3.933] | [3.779] | [0.157] | [1.132] | [0.672] | |
(0.0002) | (0.0002) | (0.0002) | (0.000) | (0.000) | (0.000) | (0.000) | (0.000) | (0.000) | |
LHHI | − 0.001 | − 0.005 | − 0.005 | − 0.011*** | − 0.011*** | − 0.011*** | 0.015 | 0.011 | 0.012 |
[− 0.528] | [− 0.862] | [− 0.862] | [− 3.338] | [− 3.537] | [− 3.636] | [1.292] | [1.128] | [1.173] | |
(0.002) | (0.005) | (0.005) | (0.003) | (0.003) | (0.003) | (0.011) | (0.009) | (0.010) | |
HICP | − 0.0004* | − 0.0002 | − 0.0002 | − 0.001** | − 0.001** | − 0.001** | − 0.000 | − 0.000 | − 0.000 |
[− 1.936] | [− 0.479] | [− 0.479] | [− 2.382] | [− 2.122] | [− 2.158] | [− 0.333] | [− 0.732] | [− 0.192] | |
(0.0002) | (0.0003) | (0.0003) | (0.000) | (0.000) | (0.000) | (0.001) | (0.001) | (0.001) | |
LBSIZE | − 0.0002 | 0.004 | 0.004 | − 0.002*** | − 0.001*** | − 0.001*** | 0.013** | 0.011** | 0.015*** |
[− 0.451] | [1.013] | [1.013] | [− 3.241] | [− 2.891] | [− 3.174] | [2.396] | [2.168] | [3.015] | |
(0.0005) | (0.004) | (0.004) | (0.000) | (0.000) | (0.000) | (0.005) | (0.005) | (0.005) | |
REG_DUMMY | 0.047 | 0.003 | − 0.009 | 0.152*** | 0.142*** | 0.145*** | − 0.301** | − 0.234* | − 0.320** |
[1.485] | [1.000] | [− 0.084] | [3.903] | [3.705] | [3.577] | [− 2.014] | [− 1.661] | [− 2.127] | |
(0.032) | (0.003) | (0.112) | (0.039) | (0.038) | (0.041) | (0.149) | (0.141) | (0.150) | |
1.EMU | − 0.011 | − 0.003 | 0.007 | ||||||
[− 0.094] | [− 1.070] | [0.838] | |||||||
(0.112) | (0.003) | (0.008) | |||||||
1.EU15 | − 0.005 | 0.002 | 0.007 | ||||||
[− 0.706] | [0.378] | [0.594] | |||||||
(0.008) | (0.005) | (0.012) | |||||||
Nb. of banks [id] | 433 | 433 | 433 | 281 | 281 | 281 | 152 | 152 | 152 |
Nb. of observations | 3879 | 3879 | 3879 | 2521 | 2521 | 2521 | 1358 | 1358 | 1358 |
Hansen test [p-value] | 0.12 | 0.09 | 0.09 | 0.31 | 0.98 | 0.87 | 0.26 (0.57) | 0.13 | 0.13 |
AR1 test [p-value] | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 | 0.00 |
AR2 test [p-value] | 0.21 | 0.21 | 0.21 | 0.79 | 0.95 | 0.87 | 0.25 | 0.26 | 0.26 |