Bank Regulations and Income Inequality: Empirical Evidence
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This article provides cross-country evidence that variations in bank regulatory policies result in differences in income distribution. In particular, the overall liberalization of banking systems decreases income inequality significantly. However, this effect becomes insignificant for countries with low levels of economic and institutional development and for market-based economies. Among liberalization policies, credit and interest rate controls have the most significant negative effect on inequality. Privatizations and liberalization of international capital flows also decrease income inequality; the latter also increases the income share of the relatively poor. In contrast, liberalization of securities markets increases income inequality substantially.
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Delis, Hasan, and Kazakis (2014) find that banking reforms that improve the operation of banking systems decrease income inequality.
“Delis, Hasan, and Kazakis (2014) find that banking reforms that improve the operation of banking systems decrease income inequality.”
From Finance, Growth, and Inequality (2021) · cites this paper as Delis, Hasan, and Kazakis (2014)
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Cited by
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Finance, Growth, and Inequality
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- Authors
- Delis, M. D., Hasan, I., & Kazakis, P.
- Affiliations
- Fordham University (US)
- Venue
- Review of Finance
- Publisher
- Oxford University Press (OUP)
- Published
- 2013-10-03
- Volume
- 18
- Issue
- 5
- Pages
- 1811-1846
- ISSN
- 1382-6662 (ISSN-L)
- 1573-692X
- 1572-3097
- OpenAlex
- W1968289644
- Cited by
- 167
- References
- 2
- Citations by year
- 2026: 5 · 2025: 22 · 2024: 16 · 2023: 23 · 2022: 15 · 2021: 22 · 2020: 13 · 2019: 13 · 2018: 13 · 2017: 7 · 2016: 7 · 2015: 7 · 2014: 1 · 2012: 1
- FWCI
- 8.74
- Type
- journal article
- Language
- en
- Open access
- bronze
- doi.org
- Locations
- European Finance Review (publishedVersion)
- Munich Personal RePEc Archive (Ludwig Maximilian University of Munich) (acceptedVersion)
- RePEc: Research Papers in Economics (submittedVersion)
- Econstor (Econstor) (submittedVersion)
- ENLIGHTEN (Jurnal Bimbingan dan Konseling Islam) (submittedVersion)
- Topics
- Social Sciences › Economics, Econometrics and Finance › Finance › Banking stability, regulation, efficiency
- Social Sciences › Sociology and Political Science › Income, Poverty, and Inequality
- Social Sciences › Economics, Econometrics and Finance › General Economics, Econometrics and Finance › Monetary Policy and Economic Impact
- Keywords
- banking regulation, income inequality, banking liberalization, credit regulation, interest rate control, privatization, capital liberalization, securities market liberalization, market economy, institutional development
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