An Empirical Analysis of the Risk-Taking Channel of Monetary Policy in Turkey
EMERGING MARKETS FINANCE AND TRADE, cilt.52, sa.3, ss.589-609, 2016 (SSCI, Scopus)
- Yayın Türü: Makale / Tam Makale
- Cilt numarası: 52 Sayı: 3
- Basım Tarihi: 2016
- Doi Numarası: 10.1080/1540496x.2015.1047300
- Dergi Adı: EMERGING MARKETS FINANCE AND TRADE
- Derginin Tarandığı İndeksler: Social Sciences Citation Index (SSCI), Scopus
- Sayfa Sayıları: ss.589-609
- Anahtar Kelimeler: monetary policy, transmission mechanisms, risk-taking channel, Turkey, panel data, BANK, COMPETITION, GROWTH
- Açık Arşiv Koleksiyonu: AVESİS Açık Erişim Koleksiyonu
- Orta Doğu Teknik Üniversitesi Adresli: Evet
Özet
This article investigates the bank-specific characteristics of risk-taking behavior of the Turkish banking sector as well as the existence of risk-taking channel of monetary policy in Turkey. Using bank-level quarterly data over the period 2002-2012 a dynamic panel model is estimated. We find evidence that low short-term interest rates reduce the risk of outstanding loans; however short-term interest rates below a theoretical benchmark increase risk-taking of banks. This result holds for macroeconomic controls and external factors as well. Furthermore, in terms of bank-specific characteristics, our analysis suggests that large, liquid, and well-capitalized banks are less prone to risk-taking.