This paper proposes a new test of the efficient structure hypothesis by directly examining the relation between firm efficiency and firm growth. This is also a test of the so-called quiet-life hypothesis. Applying this test to large banks in Japan, we find that more efficient banks become...

This paper examines whether the efficiency structure hypothesis holds true for major Japanese commercial banks using panel data covering fiscal years 1974-2001. The efficiency structure hypothesis has been hitherto mostly examined in comparison with the structure-conduct-performance (SCP)...

This paper examines whether the efficiency structure hypothesis holds true for Japanese major commercial banks using a panel data set covering the period from fiscal year 1974 to 2001. The efficiency structure hypothesis has been hitherto mostly examined in comparison with the...