Originally from Hong Kong, “the world’s freest economy,” Dr. Chun-Yu Ho joined the School of Economics last semester after finishing his doctoral studies in economics at Boston University.

Dr. Ho’s research centers on empirical industrial organization, economic development, and applied econometrics. His dissertation examined how banking reform in China impacted the market power of the country’s four main banks and whether or not the reform enhanced consumer welfare.

“I’m trying to identify where there is competition in the banking industry, if it can be improved, and the effects of competition on the market and the consumer.” Specifically, Dr. Ho has focused on competition in the consumer deposit market where higher deposit rates, lower service fees, better service by employees, and branching can improve the average consumer experience.

“If I can demonstrate that Chinese banks are not competitive and that they, and the Chinese people, would benefit from a shift in practices, perhaps it would inform their banking and competition polices.” Dr. Ho has presented papers to research institutes in Finland and Hong Kong, whose economies and trade are heavily intertwined with that of China. The research is relevant to other industries within China and can be applied to other countries as well.

Last month, Dr. Ho visited Tokyo where he presented an interdisciplinary paper on economic history—the impact of the 1930’s Sino-Japanese conflicts on Chinese government bonds and the resulting constraints on financing for public works. Currently, he is analyzing the effect of the Great Depression in the U.S. on China by looking into the reactions of Chinese banks in 1930s. “Research in this period,” says Dr. Ho, “informs today’s economics in China and can demonstrate how the financial market evolves over a long horizon.”
Recent Presentations

* “Bond Market and War: Evidence from China 1921 – 42” – Presented at Asia-Pacific Economic and Business History Conference 2009 in Tokyo.
* “Switching Cost and the Deposit Demand in China” – Presented at Bank of Finland, Fudan University, Shanghai Jiaotong University, and Shanghai University of Finance and Economics.
* “Market Structure, Welfare, and Banking Reform in China” - Presented at Bank of Finland and Hong Kong Institute of Monetary Research, 2008. Forthcoming in Bank of Finland-Institute for Transition Economies (BOFIT) Discussion Paper.
* “Deregulation, Competition, and Consumer Welfare in Banking Market: Evidence from Hong Kong” - Published in Hong Kong Institute of Monetary Research Working Paper No.24/2007.

Article by Rebecca Keane, Ivan Allen College