Template-Type: ReDIF-Article 1.0
Author-Name: Shayesteh Varedi
Author-Name-First: Shayesteh
Author-Name-Last: Varedi
Author-Email: sh_varedi@yahoo.com
Author-Workplace-Name: Assistant professor, Department of Economics, Qaemshahr Branch, Islamic Azad University, Qaemshahr, Iran
Author-Name: Mersedeh Tajermashaee
Author-Name-First: Mersedeh
Author-Name-Last: Tajermashaee
Author-Workplace-Name: Master of Public Administration, Qaemshahr Branch, Islamic Azad University, Qaemshahr, Iran
Title: The Effect of Intra-Organizational Factors on the Relationship between Corporate Governance and Profitability of the Listed Banks in Iran's Stock Exchange, in Alignment with Realization of the Resistive Economy Objectives
Abstract: This study investigated the effect of intra-organizational factors on the relationship of the corporate governance system with profitability of the listed banks on the stock exchange in the Islamic Republic of Iran in the period 2011-2020, using fixed effects method for a panel (mixed) data set. At first, the research model was examined without the intra-organizational factors. The results of the estimation showed that among the variables associated with profitability, exchange rate had a negative and significant effect on profitability at the 95 percent interval. Other variables were found to have a positive and significant effect on the bank profitability. Next, the intra-organizational factors were introduced into the model. The empirical evidence obtained from the test of the hypotheses indicated that corporate governance, inflation, economic growth, bank size, capital adequacy, and financial leverage had, at the 95 percent confidence interval, a significant effect on the bank profitability. In contrast, a negative and significant relationship was found between exchange rate and financial risk, on the one side, and the bank profitability, on the other. In addition, examining the effect of intra-organizational factors on the relationship between corporate governance and profitability, it was found that the intra-organizational variables strengthened the relationship between corporate governance and profitability by 0.0174 units.
Classification-JEL: JEL
Keywords: intra-organizational factors; Corporate Governance; Profitability; Panel data; Fixed effects model
Journal: International Journal of Resistive Economics
Pages: 24-34
Volume: 10
Issue: 4
Year: 2022
Month: November
DOI: 10.22034/oajre.2022.168633
File-URL: https://www.oajre.ir/article_168633_d7537d2032a87a4b3e545941a6acb79d.pdf
File-Format: Application/pdf
File-Function: Full text
File-URL: https://www.oajre.ir/article_168633.html
File-Format: text/html
File-Function: Abstract page
Handle: RePEc:trd:journl:168633