Logo image
Corruption and bank risk-taking: Evidence from emerging economies
Journal article   Peer reviewed

Corruption and bank risk-taking: Evidence from emerging economies

Minghua Chen, Bang Nam Jeon, Rui Wang, Ji Wu and Ruocun Wang
Emerging markets review, v 24(24), pp 122-148
Sep 2015

Abstract

Bank risk-taking Corruption Emerging economies Risk-taking channel
This paper addresses the impact of corruption on banks' risk-taking behavior, using bank-level data from more than 1200 banks in 35 emerging economies during the period 2000–2012. We find consistent evidence that higher levels of corruption increase the risk-taking behavior of banks, in favor of the “sand the wheel” view in the corruption-development nexus. In addition, we examine the indirect effects of corruption on bank risks, and find evidence that the impact of monetary policy on banks' risk-taking behavior is more pronounced with the increasing severity of corruption.

Metrics

21 Record Views
149 citations in Scopus

Details

UN Sustainable Development Goals (SDGs)

This publication has contributed to the advancement of the following goals:

#9 Industry, Innovation and Infrastructure
#1 No Poverty
#8 Decent Work and Economic Growth
#10 Reduced Inequalities

InCites Highlights

Data related to this publication, from InCites Benchmarking & Analytics tool:

Collaboration types
Domestic collaboration
International collaboration
Web of Science research areas
Business, Finance
Economics
Logo image