dependence in the bank cost efficiency rankings constructed with the revaluations being kept or dropped. We relate this … show that the revaluations are positively associated with (corporate) bank lending. We then find that keeping the … revaluations when estimating bank cost efficiency leads to a misleading conclusion that the credit market is inefficient; we show …

of Germany's largest bank during the 1970 and 1980s. In this period, financial deregulation and globalization increased …