Early warning to banking crises in the dual financial system in Indonesia : the markov switching approach
Other Title(s)
التحذير المبكر من الأزمات المصرفية في النظام المالي المزدوج في إندونيسيا : مقاربة ماركوف للتحويل
Joint Authors
Nurfalah, Irfan
Rusydiana, Aam Slamet
Laila, Nisful
Cahyono, Eko Fajar
Source
Journal of King Abdulaziz University : Islamic Economics
Issue
Vol. 31, Issue 2 (31 Jul. 2018), pp.133-156, 24 p.
Publisher
King Abdulaziz University Scientific Publishing Center
Publication Date
2018-07-31
Country of Publication
Saudi Arabia
No. of Pages
24
Main Subjects
Financial and Accounting Sciences
Abstract EN
This research aims at detecting early indicators that cause conventional banking and Islamic banking crises, identifying the longest crisis period for both types of banks, and comparing the stability between the two kinds of banks.
The method used is the Markov Switching Vector Autoregressive (MS-VAR) approach.
This study uses secondary data obtained from official sources and in monthly form from January 2004 to March 2017.
The results show that Islamic banking is more stable against internal and external shocks than conventional banking.
Z-score for Islamic banking is higher (11,933) than the Z-score for conventional banking (11,679).
The longest crisis period for conventional banking was around April 2013 – March 2017 while for Islamic banking was around January 2008 – October 2008.
American Psychological Association (APA)
Nurfalah, Irfan& Rusydiana, Aam Slamet& Laila, Nisful& Cahyono, Eko Fajar. 2018. Early warning to banking crises in the dual financial system in Indonesia : the markov switching approach. Journal of King Abdulaziz University : Islamic Economics،Vol. 31, no. 2, pp.133-156.
https://search.emarefa.net/detail/BIM-837634
Modern Language Association (MLA)
Rusydiana, Aam Slamet…[et al.]. Early warning to banking crises in the dual financial system in Indonesia : the markov switching approach. Journal of King Abdulaziz University : Islamic Economics Vol. 31, no. 2 (Jul. 2018), pp.133-156.
https://search.emarefa.net/detail/BIM-837634
American Medical Association (AMA)
Nurfalah, Irfan& Rusydiana, Aam Slamet& Laila, Nisful& Cahyono, Eko Fajar. Early warning to banking crises in the dual financial system in Indonesia : the markov switching approach. Journal of King Abdulaziz University : Islamic Economics. 2018. Vol. 31, no. 2, pp.133-156.
https://search.emarefa.net/detail/BIM-837634
Data Type
Journal Articles
Language
English
Notes
Includes appendices : p. 153-155
Record ID
BIM-837634