Measurement of Economic and Banking Stability in Emerging Markets by Considering Income Inequality and Nonperforming Loans


Dinçer H., Yüksel S., Pınarbaşı F., Çetiner İ. T.

Maintaining Financial Stability in Times of Risk and Uncertainty, Hasan Dinçer,Serhat Yüksel,Fatih Pınarbaşı,İpek Tamara Çetiner, Editör, IGI Global, Pennsylvania, ss.49-68, 2018

  • Yayın Türü: Kitapta Bölüm / Araştırma Kitabı
  • Basım Tarihi: 2018
  • Yayınevi: IGI Global
  • Basıldığı Şehir: Pennsylvania
  • Sayfa Sayıları: ss.49-68
  • Editörler: Hasan Dinçer,Serhat Yüksel,Fatih Pınarbaşı,İpek Tamara Çetiner, Editör
  • İstanbul Medipol Üniversitesi Adresli: Evet

Özet

Economic and banking instability are the factors that can affect each other significantly. This chapter aims to measure the relationship between income inequality and nonperforming loans ratio. For this purpose, 20 different emerging economies are evaluated by using Pedroni panel cointegration and Dumitrescu Hurlin panel causality analysis. In addition to this aspect, annual data between the years 2000 and 2015 is considered in the analysis process. It is concluded that there is a long-term relationship between these variables. Hence, it can be said that these countries should take some actions to improve banking system. In other words, nonperforming loans ratio in banking sector can be decreased when banks in these countries can choose customers more effectively. Therefore, income inequality problem can be minimized in emerging economies.