Bank Integration and Transmission of Financial Shocks: Evidence from Japan
利用日本全国性城市银行的分支网络和县级房地产泡沫数据，研究发现银行整合程度越高的地区，其信贷和经济周期对城市地价波动的敏感度越高，表明全国性银行可能将金融冲击传导至地方经济，加剧经济波动。
This paper investigates whether banking integration plays an important role in transmitting financial shocks across geographical boundaries by using a dataset on the branch network of nationwide city banks and a prefecture-level dataset on the formation and collapse of the real estate bubble in Japan. The results show that the credit and economic cycle of financially integrated prefectures exhibits higher sensitivity to fluctuation in land prices in cities relative to financially isolated ones. These results suggest nationwide banks can be a source of economic volatility when they pass on the impacts of financial shocks to host economies.