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Do negative interest rates affect banks' cost efficiency? We exploit the unprecedented introduction of negative policy … rates by adjusting their cost efficiency. We find that banks most affected by negative interest rates responded by enhancing … their cost efficiency. We also show that improvements in cost efficiency are more pronounced for banks that are larger, less …
Persistent link: https://www.econbiz.de/10013367106
evidence on the existence of different bank technologies in international banking with different response schedules to external …. Using bank level structural variables we determine four different profit and cost banking technologies in the data. Further … analysis indicates heterogeneity not only among the level of profit and cost efficiency, but also regarding the response of …
Persistent link: https://www.econbiz.de/10009775651
By eliminating the influence of statistical noise, stochastic frontier techniques permit the estimation of the best-practice value of a firmś investment opportunities and the magnitude of a firmś systematic failure to achieve its best-practice market value - a gauge of the magnitude of agency...
Persistent link: https://www.econbiz.de/10011490908
The purpose of this study is to examine the efficiency of the banks in Lithuania by employing the DEA method and … evaluate bank performance in a low interest rate environment. The efficiency scores were calculated with a non … validate the results obtained using the DEA method. The Lithuanian bank’s efficiency analysis based on the VRS assumption shows …
Persistent link: https://www.econbiz.de/10011883486
This paper investigates the size-efficiency relation of European cooperative banks during the 2006-2015 period. We … cooperative banks from 12 European countries. This work extends the existing literature by focusing on shape of size-efficiency … European cooperative banks are significantly more cost efficient than their bigger peers and that the size-efficiency relation …
Persistent link: https://www.econbiz.de/10011901962
interest margins. This study examines the connection between bank size and efficiency to understand whether that relationship …
Persistent link: https://www.econbiz.de/10011998518
researchers in this area has been focused mainly on assessing the effectiveness and efficiency of the banking sector, which will … measures used to assess the functioning of the banking sector. The aim of this study is to examine the efficiency of the … paper presents theoretical considerations in the field of the financial system, the banking system and the efficiency of …
Persistent link: https://www.econbiz.de/10014285943
The prolonged crisis exposed the vulnerability of a monetary union without a banking union. The Single Supervisory … trust in the banking system. The ECB is today responsible for setting a single monetary policy applicable throughout the …
Persistent link: https://www.econbiz.de/10012132825
243 mergers, we analyze motives for and cost effects of small-scale mergers in German banking. Estimating a frontier cost … function with a timevariable stochastic efficiency term we show that positive scale and scope effects from a merger arise only … efficiency as the acquiring firms. For the post-merger phase, our empirical results provide no evidence for efficiency gains from …
Persistent link: https://www.econbiz.de/10009781750
This study explains the differences and variances in the efficiency scores of the Vietnamese banking sector retrieved … mainly based on frontier efficiency measurements, which essentially are Data Envelopment Analysis (DEA) and Stochastic … efficiency, whilst the opposite is true for the data type, and sample size. …
Persistent link: https://www.econbiz.de/10012607555