01715cas a2200241 a 4500 AALejournalIMF001161 230101c9999 xx r poo 0 0eng d 5.00 USD 9781451845686 1018-5941 BD-DhAAL BD-DhAAL Sarr, Abdourahmane. Financial Liberalization, Bank Market Structure, and Financial Deepening : An Interest Margin Analysis / Abdourahmane Sarr. Washington, D.C. : International Monetary Fund, 2000. 1 online resource (30 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students The paper shows that commercial banks' ability to lower deposit interest rates (market power) can increase deposit mobilization. Interest expenses saved can subsidize and lower fees on checking and branching services and thus help attract deposits. United States data illustrates the financial deepening effect of this market power. Commercial banks' ability to lower deposit interest rates diminishes when their deposits become closer substitutes to nonbank liabilities requiring greater interest rate competition. Lack of bank deposit market power, including through capital account mobility, may lessen financial deepening. Mode of access: Internet IMF Working Papers; Working Paper ; No. 2000/038 Full text available on IMF http://elibrary.imf.org/view/journals/001/2000/038/001.2000.issue-038-en.xml IMF e-Library