DERAJAT COST STICKINESS SEKTOR PERBANKAN DAN PERTUMBUHAN EKONOMI

Abstract

This study aimed to analyze the effects of the growth on the stickiness cost in banking sector. The research data
was banking financial statements during 2001-2013 published at the Indonesian Capital Market Directory.
The data included administration and general cost, bank’s Income and growth. This study used a dynamic
panel data regression with ordinary least square (OLS) estimation method. The results showed that cost of
administration and general was sticky. Furthermore, the growth increased stickiness cost of administration
and general. The growth changed behavior of bank managers. When the growth increased, the bank managers
increased the amount of resources then administration and the general cost also increased although at the same
time banking income declined.