Tag Archive for John Bonin

Bonin, Louie ’15 Co-Author Paper in Journal of Comparative Economics

John Bonin, the Chester D. Hubbard Professor of Economics and Social Science, and his former student Dana Louie ’15, are authors of a new paper published in Journal of Comparative Economics titled, “Did foreign banks stay committed to emerging Europe during recent financial crises?”

In the paper, Bonin and Louie investigate the behavior of foreign banks with respect to real loan growth during times of financial crisis for a set of countries where foreign banks dominate the banking sectors. The paper focuses on eight countries that are the most developed in emerging Europe and the behavior of two types of banks: The Big 6 European multinational banks (MNBs) and all other-foreign controlled banks. The results show that bank lending was impacted adversely during recent financial crises, but the two types of banks behaved differently. The Big 6 banks’ lending behavior was similar to domestic banks supporting the notion that these countries are treated as a “second home market” by these European MNBs. However, the other foreign banks in the region were involved in fueling the credit boom, but then decreased their lending aggressively during the crisis periods. The results suggest that both innovations matter for studying bank behavior during crisis periods in the region and, by extension, to other small countries in which banking sectors are dominated by foreign financial institutions having different business models.

“I am particularly proud of this collaborative publication because it does not stem from a student’s honors thesis, but rather from work that began with the Quantitative Analysis Center summer program and that Dana and I continued throughout her senior year in addition to her regular coursework,” Bonin said.

The paper is available online and will appear in a forthcoming hardcopy issue of the journal.

Bonin Keynote Speaker at Banking Workshop

John Bonin, the the Chester D. Hubbard Professor of Economics and Social Science.

John Bonin is the Chester D. Hubbard Professor of Economics and Social Science.

John Bonin, the Chester D. Hubbard Professor of Economics and Social Science, was the invited keynote speaker at the 5th annual CInSt Banking Workshop, hosted by the Center for International Studies at the National Research University Higher School of Economics in Moscow, Russia on Oct. 2.

The theme of the conference was “Banking in Emerging Markets: Challenges and Opportunities.” Bonin’s talk was titled, “Did foreign banks ‘cut and run’ or stay committed to emerging Europe during the crises?” Bonin presented research he did together with Dana Louie ’15. They examined the lending behavior of foreign banks during the global financial crisis and at the onset of the Eurozone crisis in eight new EU countries, known as “emerging Europe.”

At the conference, Bonin also served as a discussant on a paper titled “Market Discipline in Russian Regions: In Local Authorities We Trust?”

Bonin Co-Authors Book Chapter on Banking

John Bonin, the Chester D. Hubbard Professor of Economics and Social Science, tutor in the College of Social Studies, is the co-author of “Banking in Transition Countries, Chapter 33 in the Oxford Handbook of Banking. The book is published by Oxford University Press, Oxford U.K., 2010, pages
844–867.