Why Are Big Banks Getting Bigger?

Why Are Big Banks Getting Bigger? Ricardo T. Fernholz Claremont Colleges – Claremont McKenna College Christoffer Koch Federal Reserve Bank of Dallas February 18, 2016 Abstract: The U.S. banking sector has become substantially more concentrated since the 1990s, raising questions about both the causes and implications of this consolidation. We address these questions using nonparametric empirical…