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Deregulation of Branching Restriction, Geographic Diversification and Bank Performance |
CAI Weixing
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School of Finance, Guangdong University of Finance and Economics; Donlinks School of Economics and Management, University of Science and Technology Beijing |
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Abstract This study examines the impact of geographic diversification on bank performance using a unique dataset from China. We exploit the bank deregulation of geographical branching restriction as an exogenous policy shock and use multiple performance measures. Our results suggest both bright and dark sides of geographic diversification with regard to bank performance.
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Received: 26 March 2015
Published: 13 April 2018
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