Table 5 Response of Growth of Deposits to Bank Risk Characteristics (Cross Section Regressions, FY1992-FY2001)

Bank type: Shinkin bank & Credit Cooperative

92FY	93FY	94FY	95FY	96FY	97FY	98FY	99FY	00FY	01FY
C/A (Capital asset ratio) (t-1)	0.101	0.015	0.091	0.126	0.140 $ *\* $	0.268 $ *\*\* $	0.304 $ *\*\* $	0.465 $ *\*\* $	0.299 $ *\*\* $	0.425 $ *\*\* $
(0.107)	(0.084)	(0.089)	(0.078)	(0.060)	(0.073)	(0.094)	(0.101)	(0.073)	(0.094)
Real-estate related loan share (t-1)	0.095	0.400 $ *\* $	0.051	0.036	0.241 $ *\* $	0.188	-0.028	-0.074	-0.174 $ * $	-0.307 $ *\* $
(0.143)	(0.171)	(0.116)	(0.177)	(0.113)	(0.130)	(0.101)	(0.128)	(0.099)	(0.131)
Liquid assets/total assets (t-1)	0.001	0.000	-0.036 $ * $	-0.024	-0.008	0.031	-0.001	-0.031	-0.012	0.034
(0.019)	(0.017)	(0.021)	(0.019)	(0.020)	(0.020)	(0.021)	(0.038)	(0.023)	(0.022)
Operational profits/total assets (t-1)	0.925 $ * $	1.630 $ *\*\* $	0.535	1.381 $ *\*\* $	0.530 $ * $	0.313 $ * $	0.316	1.581 $ *\*\* $	0.860 $ *\* $	2.052 $ *\*\* $
(0.499)	(0.568)	(0.616)	(0.527)	(0.313)	(0.174)	(0.699)	(0.288)	(0.369)	(0.707)
$ \ln(\text{total assets}) $ (t-1)	0.005 $ *\*\* $	0.003 $ * $	0.006 $ *\*\* $	0.004 $ *\* $	0.003 $ * $	0.001	-0.001	0.002	0.000	-0.001
(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.003)
No. of observations	648	633	622	618	535	507	531	502	473	410
R-squared	0.153	0.184	0.209	0.240	0.226	0.291	0.127	0.232	0.270	0.294
RMSE	0.033	0.030	0.029	0.029	0.023	0.026	0.030	0.030	0.029	0.035

92FY	93FY	94FY	95FY	96FY	97FY	98FY	99FY	00FY	01FY
C/A (Capital asset ratio) (t-1)	0.141	0.125	0.119	0.109	0.103	0.281 $ *\*\*)	0.361 $ *\*\*)	0.487 $ *\*\*)	0.187 $ *\*)	0.352 $ *\*\*)
(0.108)	(0.106)	(0.102)	(0.073)	(0.066)	(0.079)	(0.114)	(0.121)	(0.081)	(0.105)
Real-estate related loan share (t-1)	0.346 $ *\*)	0.207	0.122	0.188	0.287 $ *\*)	0.044	0.002	-0.026	-0.011	-0.222 $ * $
(0.154)	(0.163)	(0.132)	(0.181)	(0.116)	(0.128)	(0.121)	(0.108)	(0.085)	(0.119)
Liquid assets/total assets (t-1)	-0.013	0.018	-0.026	-0.008	-0.011	0.012	-0.060 $ *\*)	-0.018	0.005	0.016
(0.021)	(0.023)	(0.031)	(0.022)	(0.023)	(0.022)	(0.025)	(0.024)	(0.021)	(0.025)
Operational profits/total assets (t-1)	1.138 $ *\*)	1.164	-0.050	1.052 $ *\*)	0.843 $ *\*)	-0.469	-0.184	0.675	1.106 $ *\*)	1.724 $ *\*\*)
(0.482)	(0.723)	(0.627)	(0.493)	(0.355)	(0.570)	(1.002)	(0.485)	(0.517)	(0.590)
$ \ln(\text{total assets}) $ (t-1)	0.004 $ * $	0.004 $ *\*)	0.005 $ *\*\*)	0.003	0.000	-0.001	-0.002	0.003	-0.004 $ * $	-0.003
(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.002)	(0.003)	(0.003)	(0.002)	(0.003)
No. of observations	418	411	406	401	370	362	377	353	324	297
R-squared	0.248	0.215	0.222	0.155	0.194	0.383	0.174	0.185	0.158	0.242
RMSE	0.028	0.027	0.024	0.023	0.020	0.022	0.026	0.027	0.024	0.030

92FY	93FY	94FY	95FY	96FY	97FY	98FY	99FY	00FY	01FY
C/A (Capital asset ratio) (t-1)	-0.031	-0.077	0.124	0.168	0.194	0.237	0.231	0.413 $ ** $	0.557 $ ** $	0.686 $ ** $
(0.194)	(0.147)	(0.167)	(0.172)	(0.135)	(0.167)	(0.151)	(0.158)	(0.159)	(0.180)
Real-estate related loan share (t-1)	-0.240	0.561 $ ** $	-0.033	-0.160	0.152	0.382 $ * $	0.001	-0.168	-0.325 $ ** $	-0.420 $ * $
(0.244)	(0.280)	(0.193)	(0.320)	(0.203)	(0.215)	(0.141)	(0.216)	(0.151)	(0.242)
Liquid assets/total assets (t-1)	0.030	-0.018	-0.031	-0.040	-0.004	0.055	0.051	-0.082	-0.051	0.014
(0.033)	(0.027)	(0.027)	(0.030)	(0.037)	(0.040)	(0.036)	(0.068)	(0.049)	(0.044)
Operational profits/total assets (t-1)	0.864	2.252 $ ** $	1.093	1.759 $ * $	0.352	0.469 $ ** $	0.841	1.799 $ ** $	0.779	2.205 $ * $
(0.682)	(0.913)	(0.999)	(0.908)	(0.551)	(0.211)	(0.738)	(0.292)	(0.512)	(1.114)
$ \ln(\text{total assets}) $ (t-1)	0.008 $ * $	0.002	0.008 $ * $	0.005	0.007 $ * $	0.004	0.005	0.000	0.004	0.000
(0.003)	(0.003)	(0.003)	(0.004)	(0.003)	(0.004)	(0.003)	(0.004)	(0.004)	(0.006)
No. of observations	230	222	216	217	165	145	154	149	149	113
R-squared	0.110	0.197	0.225	0.264	0.160	0.171	0.218	0.308	0.173	0.251
RMSE	0.040	0.035	0.036	0.038	0.029	0.036	0.035	0.036	0.037	0.047

Note: The estimation method is OLS. Heteroscedasticity-robust standard errors are given in parentheses. $ ^{***} $ , $ ^{**} $ , and $ ^{*} $ indicate statistical significance at 1, 5 and 10 percent, respectively.