Arguments Does distance matter for financial stability? Our argument is structured as follows. Distance can be a complex, multidimensional relational concept. Literature suggest that the distance has an exogenous endogenous shock nature in banking structure. The intangibility easily gives the impression that the friction of distance the core of geography, will be marginal at best. And when the friction of distance is lost, the discipline also loses most of its foundations.
Ebook The Changing Geography Of Banking And Finance: The Main Issues
This opinion implicitly assumes that the financial landscape is homogeneous. However the real financial landscape is not homogeneous at all, it is extremely heterogeneous and full of anomalies. This raises the question regarding the qualitative nature of the interaction between regional financial stability and local institutions in the "production process of financial development".
Conclusion In the last four decades, the economics research frontier has been significantly transformed by collection of new approaches that injected traditional economic geographical methodology. Changes in the financial geography research frontier herald future changes in economics. The new methods and concepts being adopted in economics coming from other sciences strongly suggest that economics will be substantially different in the future.
The Changing Geography of Banking and Finance: The Main Issues
The approaches presented in this literature review prove the role of regional disparities regional aspects is fundamental in banking and credit research. In this introductory paper, I first focus on the more general concept of financial geography. I classify the literature on financial geography into three parts: the first part of the literature focuses on demonstrating the role of space in financial economics and macroeconomic performance. The second part of the literature analyzes the relationship between banks and borrowers through triangles of distance and micro-financial conditions.
The third part of the literature focuses on bank and facility location analysis. Finally, highlighting important roles for both locality market and location linkages within the network , and determining the outcomes of behavioural rules that shape equilibrium spatial landscapes and evolutionary paths, the above literature Table 1 is closely related to new economic geography. References  Abbasi, G.
A decision support system for bank location selection. International Journal of Computer Applications in Technology, 16 4 — Distance and private information in lending. Review of Financial studies, page hhq Bank branch geographic location patterns in spain: Some implications for financial exclusion. Growth and Change, 43 3 — La geografia del potere bancario: il ruolo delle distanze funzionali the geography of banking power: Role of function distance. The changing geography of banking and finance.
Review of Finance, 13 2 — Defining and achieving financial stability. Journal of Financial Stability, 2 2 — Keep walking? Do banks price discriminate spatially? In Regional Research Frontiers-Vol.
Evaluating bank branch location and performance: A case study. European Journal of Operational Research, 87 2 — The determination of foreign banking location. Journal of International Money and Finance, 15 4 — The distance effect in banking and trade. Does distance matter in banking? Distance, bank orga- nizational structure, and lending decisions. The geography of money. Cornell University Press. Do courts matter for firm value? The geography of financial inclu- sion across europe during the global crisis. Journal of Economic Geography, 15 5 — Home bias at home: Local equity preference in domestic portfolios.
Recommended for you
The Journal of Finance, 54 6 — Measuring the district effect. Bank efficiency and financial centres: Does geographical location matter? Distance, lending relationships, and competition. The Journal of Finance, 60 1 — Journal of economic geography, 9 5 — Bank location and the market evaluation of bank equity. Atlantic Economic Journal, 6 4 — Geography and economic development. International regional science review, 22 2 — Adverse selection and re-trade. Location choice of foreign banks in the united states. Journal of Economics and Business, 46 5 — How distance, language, and culture influence stockholdings and trades.
Latest eBook: ‘The Changing Geography of Finance and Regulation in Europe’
The Journal of Finance, 56 3 — Allocative efficiency in branch banking. European Journal of Operational Research, 2 — Stability in competition. Location and space-economy. Development, geography, and economic theory, volume 6. MIT press. The remit of financial geography—before and after the crisis.
Journal of Economic Geography, 9 5 — The economics of location, New Haven, Yale. Handbook on the Geographies of Money and Finance. Edward Elgar Publishing. How were the federal reserve bank locations selected?
- Financial geography: introduction to the Virtual Issue.
- The Main Issues.
- Sufism: Veil and Quintessence A New Translation with Selected Letters (The Writings of Frithjof Schuon);
- Gates of Mordor (Middle Earth Role Playing MERP).
- The Changing Geography of Banking and Finance | Pietro Alessandrini | Springer.
- Latest publications.
- Pests of Ornamental Trees, Shrubs and Flowers: A Colour Handbook, Second Edition.
Explorations in Economic History, 43 3 — A hierarchical location model for locating bank branches in a competitive environment. International transactions in operational research, 9 5 — Do bank branches still matter? Mcdm location problems. In Multiple criteria decision analysis: State of the art surveys, pages — Bank branch location: A count analysis. Spatial economic analysis, 4 3 — Does geographi- cal proximity matter in small business lending? Does distance still matter?
Journal of Financial and Quantitative Analysis , vol Review of Financial Studies. Financial Management , vol Journal of Corporate Finance , vol Journal of International Money and Finance , vol Journal of Banking and Finance , vol European Financial Management , vol Review of Finance , vol Journal of Money, Credit and Banking , vol Journal of Financial Stability , vol 6. Springer US, pp. Journal of Financial Services Research , vol