Bank Concentration for United States

DDOI01USA156NWDB • Economic Data from Federal Reserve Economic Data (FRED)

Latest Value

38.40

Year-over-Year Change

9.51%

Date Range

1/1/2000 - 1/1/2021

Summary

The Bank Concentration for United States metric measures the degree of concentration in the banking industry. It is a key indicator for analyzing market competition and financial stability.

Analysis & Context

This economic indicator provides valuable insights into current market conditions and economic trends. The data is updated regularly by the Federal Reserve and represents one of the most reliable sources for economic analysis.

Understanding this metric helps economists, policymakers, and investors make informed decisions about economic conditions and future trends. The interactive chart above allows you to explore historical patterns and identify key trends over time.

About This Dataset

The Bank Concentration ratio represents the percentage of total banking assets held by the three largest commercial banks in the United States. It is used by economists and policymakers to assess the competitive landscape and potential risks in the banking sector.

Methodology

The data is calculated and published annually by the World Bank based on official national banking statistics.

Historical Context

Policymakers monitor bank concentration to gauge market competition and systemic risk in the financial system.

Key Facts

  • The US bank concentration ratio was 44.9% in 2020.
  • Bank concentration has trended upward over the past two decades.
  • High bank concentration can increase systemic risk in the financial system.

FAQs

Q: What does this economic trend measure?

A: The Bank Concentration ratio measures the degree of market share held by the three largest commercial banks in the United States.

Q: Why is this trend relevant for users or analysts?

A: Bank concentration is an important indicator of market competition and financial stability in the banking sector.

Q: How is this data collected or calculated?

A: The data is calculated and published annually by the World Bank based on official national banking statistics.

Q: How is this trend used in economic policy?

A: Policymakers monitor bank concentration to assess the competitive landscape and potential systemic risks in the financial system.

Q: Are there update delays or limitations?

A: The bank concentration data is published annually with a delay, so it may not reflect the most recent changes in the banking industry.

Related Trends

Citation

U.S. Federal Reserve, Bank Concentration for United States (DDOI01USA156NWDB), retrieved from FRED.