FINANCIAL STRUCTURE AND SYSTEMIC RISK: EVIDENCE FROM SELECTED MENA REGION COUNTRIES

Maggie J. Houshaimi

Article Details

FINANCIAL STRUCTURE AND SYSTEMIC RISK: EVIDENCE FROM SELECTED MENA REGION COUNTRIES

Authors:

Maggie J. Houshaimi

Publisher:

Beirut Arab University Press

Journal:

BAU Journal - Society, Culture and Human Behavior Vol.2 Issue 2, pp.0-0

Document Type:

Article

Publication Date:

2/2021

Document Language:

English

Document ID (Org No.):

2001951059

pISSN:

2789-8296

Keywords:

Abstract:

 Against the context of the consecutive world financial crisis, this paper aims to evaluates the merits of market-based against bank-based financing by analyzing the correlation between financial structure and systemic risk of eleven countries within the MENA region. Within the study three hypotheses are tested; first, if financial structure and systemic risk are significantly related, second, if this relation is non-linear relationship and the third one is if bank financing doesn’t contribute to systemic risk above the threshold financial structure value. To our knowledge no paper has addressed this issue in the selected countries. This paper uses a balanced panel of 253 observations for the period between 1995 and 2018 to perform the empirical analysis. Our results from the fixed effect panel regression, confirm that this relation is significant between financial structure and systemic risk, supports a non-linear relationship and has an inflection point as proved by the cubic model regression. In light of these results, stock-markets are more resilient to systemic risk and non-interest income activities offered by the banks are considered to be a source of risk.

Article Details

FINANCIAL STRUCTURE AND SYSTEMIC RISK: EVIDENCE FROM SELECTED MENA REGION COUNTRIES

Authors:

Maggie J. Houshaimi

Publisher:

Beirut Arab University Press

Journal:

BAU Journal - Society, Culture and Human Behavior Vol.2 Issue 2, pp.0-0

Document Type:

Article

Publication Date:

2/2021

Document Language:

English

Document ID (Org No.):

2001951059

pISSN:

2789-8296

Financial Structure

Systemic Risk

Bank-based system

Market-based sysetm

Non-linear

MENA

Issues

Article Details

FINANCIAL STRUCTURE AND SYSTEMIC RISK: EVIDENCE FROM SELECTED MENA REGION COUNTRIES

Authors: Maggie J. Houshaimi

Publisher: Beirut Arab University Press

Journal: BAU Journal - Society, Culture and Human Behavior Vol.2 Issue 2, pp.0-0

Document Type: Article

Publication Date: 2/2021

Document Language: English

Document ID (Org No.): 2001951059

pISSN: 2789-8296

Financial Structure

Systemic Risk

Bank-based system

Market-based sysetm

Non-linear

MENA

Issues

Authors:

Maggie J. Houshaimi

Publisher:

Beirut Arab University Press

Journal:

BAU Journal - Society, Culture and Human Behavior Vol.2 Issue 2, pp.0-0

Document Type:

Article

Publication Date:

2/2021

Document Language:

English

Document ID (Org No.):

2001951059

pISSN:

2789-8296