; ; ; "ActiveFedora::Aggregation::ListSource" . a , ; "Rising Bank Concentration"; ; "jannelle.ruswick@mpls.frb.org"; "Corbae, Dean", "D'Erasmo, Pablo"; "Federal Reserve Bank of Minneapolis"; "Bank concentration", "Banking industry dynamics", "Imperfect competition"; "E44 - Financial Markets and the Macroeconomy", "G21 - Banks; Depository Institutions; Micro Finance Institutions; Mortgages", "L11 - Production, Pricing, and Market Structure; Size Distribution of Firms", "L13 - Oligopoly and Other Imperfect Markets"; "Concentration of insured deposit funding among the top four commercial banks in the U.S. has risen from 15% in 1984 to 44% in 2018, a roughly three-fold increase. Regulation has often been attributed as a factor in that increase. The Riegle-Neal Interstate Banking and Branching Efficiency Act of 1994 removed many of the restrictions on opening bank branches across state lines. We interpret the Riegle-Neal act as lowering the cost of expanding a bank's funding base. In this paper, we build an industry equilibrium model in which banks endogenously climb a funding base ladder. Rising concentration occurs along a transition path between two steady states after branching costs decline. "^^; "2020-03-02"; "2020-03-02T20:30:53.940000609+00:00"^^; "https://doi.org/10.21034/sr.594"; ; "https://creativecommons.org/licenses/by-nc/4.0/"; "2020-06-15T14:07:06.685705216+00:00"^^; "https://creativecommons.org/licenses/by-nc/4.0/"; "Research Paper"; "170", "152"; "Staff report (Federal Reserve Bank of Minneapolis. Research Department)"; "594"; "Bank concentration", "Imperfect competition", "Banking industry dynamics"; ; ; ; ; "Federal Reserve Bank of Minneapolis. Research Department"; "Published in _Journal of Economic Dynamics and Control_ (vol. 115, June 2020, article 103877), https://doi.org/10.1016/j.jedc.2020.103877."^^; ; "Publication" . ; .