TITLE

INVESTIGATING THE IMPACT OF TAIWAN'S REAL ESTATE BOOM TO THE BANK'S FINANCIAL PERFORMANCE

AUTHOR(S)
CHENG-WEN LEE; CHIA-JUI PENG; WEN-CHUAN FU
PUB. DATE
May 2015
SOURCE
CLEAR International Journal of Research in Commerce & Managemen;May2015, Vol. 6 Issue 5, p1
SOURCE TYPE
Academic Journal
DOC. TYPE
Article
ABSTRACT
This paper mainly discusses the persistent impact to the bank's financial performance caused by Taiwan ruling authorities' policy in inhibiting housing prices. By vertical and horizontal data we observe the changes in bank's financial panel data smooth transition regression(PSTR) model. First, the sustained financial performance expressing nonlinear smooth transition results is supported, and the threshold values at the transition variables regarding the scores of comprehensive trend in housing prices and the rate of the loan burden are determined. Secondly, it is proved that government should be gentle in implementing policy to curb housing prices. If lowering housing prices rapidly, it will cause financial performance of banks with a low degree of continuity; that is: financial performance of banks will entirely affected by exogenous circumstances, and present an unstable state.
ACCESSION #
119728116

 

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