Colabora: Universitat Autònoma de Barcelona. Departament d'Economia de l'Empresa
Autor/es:
Crespí i Cladera, Rafael; García-Cestona, Miguel A.; Salas Fumás, Vicente;
Publica: Universitat Autònoma de Barcelona. Departament d'Economia de l'Empresa
Resumen :
This paper examines the governance of Spanish Banks around two main issues. First, does a
poor economic performance activate those governance interventions that favor the removal of executive directors and the merger of non-performing banks? And second, does the relationship between governance intervention and economic performance vary with the ownership form of the bank? Our results show that a bad performance does activate governance mechanisms in banks, although for the case of Savings Banks intervention is confined to a merger or acquisition. Nevertheless, the distinct ownership structure of Savings Banks does not fully protect non-performing banks from disappearing. Product-market competition compensates for those weak internal governance mechanisms that result from an ownership form which gives voice to several stakeholder groups.
