Economics Extanded Essay, Coursework for the IB Essay

Economics Extanded , Coursework for the IB - Essay ExampleIrrespective of the product or emolument that is creation studied it is apparent that all of a sudden the information flow has gravel more rapid, regulatory structures more oriented to free foodstuff structures and the movement of capital and permission to access local securities painss freer. This has prompted national businesses to target global businesses and the global businesses to target national markets. However lumpiness in the control of market shares is seen as yet which has tended to be diluted monopoly or monopolistic controls of the past and the structures gull tended to turn, in general, to oligopolistic structures. Banking industry is no exception. Main features of banking industry, irrespective of jurisdiction have been a long standing history of business, ready demands for its products and services (baring economic downturns) and specific protection enjoyed from the national governments It has experienc ed a more benign and organise capital adequacy regimes in the form of Basle I and now Basle II apart from a host of other suggestive and market discipline establish stipulations. Fact remains that banks enable target customers to do the essential functions of saving, investing and storing money or money equivalents and therefore banks tend to have a hardcore and core segment of consumers on most jurisdictions where they have chosen to operate. Spanish banks are no exception. This has spurred market control strategies from the banks and these strategies coalesce to determine as to what precise form of market does the banking industry of a particular time looks like. Literature has often pointed out to the extent of contestation in the banking industry competitor has become a recurrent topic in the banking literary works. Specifically, during the last decade a great deal of empirical work has attempted to measure the level of competition prevailing in European banking markets. T he beginning of the third stage of the Economic and Monetary Union, in January 1999, and the projected changeover to the Euro triggered the interest of researchers in this issue (Rozas, 2007). This write up has the objective of examining the Spanish banking industry and to ascertain, if over the years, such an industry has come to acquire the market form of an oligopoly. This done through an in depth literature review where major arguments are sourced and analyzed and conclusion arrived ,on the basis of such an analysis, if the present day Spanish banking industry resembles a oligopolistic structure.Research Methodology Competition studies in banking industry of various jurisdictions is a very well thought out and researched topic and the literature in this area is rich with several aspects being already examined through deep empirical and theoretical research. Literature also has in store several models of depicting the shape and structure of the markets in which banking industry of a particular jurisdiction finds itself apart from listing and analysis of the various important factors that have caused the present