
handle: 10419/55886
This article investigates the scale of performance persistence in the Central European banking industry. Contrary to the existing literature, we test not only for the short-term performance persistence but we propose also a novel method of analyzing the long-term persistence. Using an extensive dataset, covering the 1992-2009 period, we establish that banks’ results are strongly persistent in two-years sub-periods as well as in the long-run. Moreover, we find that the strength of studied phenomenon is not significantly influenced by the macroeconomic environment, banks size and capital base and country-specific factors.
banks profitability, Economics as a science, ddc:330, G21, performance persistence, HB71-74, emerging economies
banks profitability, Economics as a science, ddc:330, G21, performance persistence, HB71-74, emerging economies
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