School of Accountancy Faculty Publications and Presentations
Document Type
Conference Proceeding
Publication Date
10-2023
Abstract
Prior research found that community banks in rural areas outperformed community banks in metropolitan areas in terms of pre-tax return on assets and the variables contributing to it. However, a study on community banks by the FDIC in 2020 mentioned that community banks in the fastest growing metropolitan areas from 2010 through 2020 performed better than those in other metropolitan areas without comparing that performance to rural community banks. This study addresses that gap using a 2014 dataset and finds that, on average, community banks in the fastest-growing metropolitan statistical areas do not outperform rural community banks. The summary data suggests that high cost of operations, likely labor and real estate, offset higher net interest margins and fee income in those fast-growing areas.
Recommended Citation
Morrison, N., 2023. DO COMMUNITY BANKS IN FAST-GROWING METROPOLITAN AREAS OUTPERFORM RURAL COMMUNITY BANKS? Institute for Global Business Research Conference Proceedings 7, 33–38.
Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License
First Page
33
Last Page
38
Publication Title
Institute for Global Business Research Conference Proceedings
Comments
Student publication.
The IGBR Conference Proceedings are published in Gold Open Access which allows free access to everyone, as well as the re-use of the work as long as the authors are acknowledged and cited. The Proceedings are also licensed under a Creative Commons Non-Commercial Attribution 4.0 International License.