Skip Navigation


Journal of Economic Geography Advance Access originally published online on November 12, 2007
Journal of Economic Geography 2008 8(2):239-258; doi:10.1093/jeg/lbm042
This Article
Right arrow Full Text
Right arrow Full Text (PDF)
Right arrow All Versions of this Article:
8/2/239    most recent
lbm042v1
Right arrow Alert me when this article is cited
Right arrow Alert me if a correction is posted
Services
Right arrow Email this article to a friend
Right arrow Similar articles in this journal
Right arrow Alert me to new issues of the journal
Right arrow Add to My Personal Archive
Right arrow Download to citation manager
Right arrowRequest Permissions
Google Scholar
Right arrow Articles by Grote, M. H.
Right arrow Search for Related Content
Related Collections
Right arrow F23 - Multinational Firms; International Business
Right arrow G21 - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
Right arrow N94 - Europe: 1913-
Right arrow R11 - Regional Economic Activity: Growth, Development, and Changes
Right arrow R32 - Other Production and Pricing Analysis
Social Bookmarking
Add to CiteULike   Add to Connotea   Add to Del.icio.us  
What's this?


© The Author (2007). Published by Oxford University Press. All rights reserved. For Permissions, please email: journals.permissions@oxfordjournals.org

Foreign banks’ attraction to the financial centre Frankfurt—an inverted ‘U’-shaped relationship{dagger}

Michael H. Grote*

*Department of Finance, J. W. Goethe-University Frankfurt, D – 60054 Frankfurt am Main, Germany. email < grote{at}finance.uni-frankfurt.de>

JEL classifications: R11, N94

This article traces the location of foreign banks in Germany from 1949 to 2006. As suggested by New Economic Geography models, we find an inverted ‘U’-shaped concentration of foreign banks in Germany. Only after a competition between several cities, Frankfurt has emerged as the pre-eminent financial centre, triggered by the ‘historical event’ of setting up the German central bank in Frankfurt. After a strong increase, Frankfurt's share in the location of foreign banks in Germany decreases slowly but significantly since the mid-1980s. We conclude that there will be a lesser role in Europe for second-tier financial centres in the future.

Keywords: financial centres, ‘U’-shape, foreign banks, Frankfurt

{dagger}Part of the research has been conducted while the author was Metzler visiting professor at the Wharton School, University of Pennsylvania.

Date submitted: 18 April 2007     Date accepted: 26 September 2007


Add to CiteULike CiteULike   Add to Connotea Connotea   Add to Del.icio.us Del.icio.us    What's this?


This article has been cited by other articles:


Home page
 J ECON GEOGRHome page
E. Engelen and M. H. Grote
Stock exchange virtualisation and the decline of second-tier financial centres--the cases of Amsterdam and Frankfurt
J. Econ. Geogr., September 1, 2009; 9(5): 679 - 696.
[Abstract] [Full Text] [PDF]

Home page
 Cambridge J Regions Econ SocHome page
P. Alessandrini, A. F. Presbitero, and A. Zazzaro
Global banking and local markets: a national perspective
Cambridge J Regions Econ Soc, July 1, 2009; 2(2): 173 - 192.
[Abstract] [Full Text] [PDF]

Home page
 Cambridge J Regions Econ SocHome page
S. French, A. Leyshon, and N. Thrift
A very geographical crisis: the making and breaking of the 2007-2008 financial crisis
Cambridge J Regions Econ Soc, July 1, 2009; 2(2): 287 - 302.
[Abstract] [Full Text] [PDF]


Disclaimer: Please note that abstracts for content published before 1996 were created through digital scanning and may therefore not exactly replicate the text of the original print issues. All efforts have been made to ensure accuracy, but the Publisher will not be held responsible for any remaining inaccuracies. If you require any further clarification, please contact our Customer Services Department.