US bank competition weaker than thought – St Louis Fed paper

JP Morgan
JP Morgan: “level of competition might be less than previously thought”

Including off-balance sheet revenues in pricing power measures suggests competition in the US banking sector could be less than previously thought, according to a researcher from the Federal Reserve Bank of St Louis.

In an economic letter, David Wheelock assesses a measure that calculates the degree of a firm’s pricing power, called the Lerner Index. He develops the measure to include the revenues banks generate from off-balance sheet activities.

Using data from the 10 largest US banks from

Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.

To access these options, along with all other subscription benefits, please contact [email protected] or view our subscription options here: http://subscriptions.centralbanking.com/subscribe

You are currently unable to copy this content. Please contact [email protected] to find out more.

To continue reading...

You need to sign in to use this feature. If you don’t have a Central Banking account, please register for a trial.

Sign in
You are currently on corporate access.

To use this feature you will need an individual account. If you have one already please sign in.

Sign in.

Alternatively you can request an individual account here: