Please use this identifier to cite or link to this item: https://hdl.handle.net/10419/283423 
Year of Publication: 
2023
Series/Report no.: 
Working Paper No. 250
Publisher: 
Oesterreichische Nationalbank (OeNB), Vienna
Abstract: 
Under the Single Supervisory Mechanism (SSM), introduced in 2014, systemically important euro area banks with combined assets of about 21,000 billion euros are directly supervised by the ECB. We examine from a static and a dynamic perspective how this fundamental shift to unified supervision under the SSM affects the competitive position of SSM banks. We find that the SSM reduced competition for SSM banks in countries affected by the sovereign debt crisis. Otherwise, the impact of the SSM was limited or competition increased. Furthermore, our results suggest that anti-competitive side effects of the SSM are unlikely to be permanent.
Subjects: 
ECB Single Supervisory Mechanism
Banking supervision
Competition
Lerner index
Persistence of profits
JEL: 
D43
E58
G28
Document Type: 
Working Paper

Files in This Item:
File
Size
539.73 kB





Items in EconStor are protected by copyright, with all rights reserved, unless otherwise indicated.