Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis
This study estimates the cost efficiency of Chinese commercial banks by employing stochastic frontier analysis. The main objective is to assess cost efficiency by applying the most recent post-reform data from 2004 to 2014. A two-stage regression model is used to examine the impact from potential in...
| Main Author: | |
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| Format: | Dissertation (University of Nottingham only) |
| Language: | English |
| Published: |
2015
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| Online Access: | https://eprints.nottingham.ac.uk/30034/ |
| _version_ | 1848793907366723584 |
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| author | LI, YAJING |
| author_facet | LI, YAJING |
| author_sort | LI, YAJING |
| building | Nottingham Research Data Repository |
| collection | Online Access |
| description | This study estimates the cost efficiency of Chinese commercial banks by employing stochastic frontier analysis. The main objective is to assess cost efficiency by applying the most recent post-reform data from 2004 to 2014. A two-stage regression model is used to examine the impact from potential influential factors on cost efficiency. Overall, the estimated cost efficiency is 77.75% compared with “best practice” banks in the selected sample. Foreign-owned commercial banks are found to be the most efficient. Macroeconomic factors do not show a significant influence on cost efficiency. A positive correlation between bank size, return on assets (ROA) and equity ratio is found, and the loan-deposit ratio is negatively related to cost efficiency. |
| first_indexed | 2025-11-14T19:07:45Z |
| format | Dissertation (University of Nottingham only) |
| id | nottingham-30034 |
| institution | University of Nottingham Malaysia Campus |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-14T19:07:45Z |
| publishDate | 2015 |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | nottingham-300342017-10-19T14:57:28Z https://eprints.nottingham.ac.uk/30034/ Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis LI, YAJING This study estimates the cost efficiency of Chinese commercial banks by employing stochastic frontier analysis. The main objective is to assess cost efficiency by applying the most recent post-reform data from 2004 to 2014. A two-stage regression model is used to examine the impact from potential influential factors on cost efficiency. Overall, the estimated cost efficiency is 77.75% compared with “best practice” banks in the selected sample. Foreign-owned commercial banks are found to be the most efficient. Macroeconomic factors do not show a significant influence on cost efficiency. A positive correlation between bank size, return on assets (ROA) and equity ratio is found, and the loan-deposit ratio is negatively related to cost efficiency. 2015-09-16 Dissertation (University of Nottingham only) NonPeerReviewed application/pdf en https://eprints.nottingham.ac.uk/30034/1/Final5.0%20-%20Copy.pdf LI, YAJING (2015) Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis. [Dissertation (University of Nottingham only)] stochastic frontier analysis; cost X-efficiency; China banks |
| spellingShingle | stochastic frontier analysis; cost X-efficiency; China banks LI, YAJING Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title | Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title_full | Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title_fullStr | Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title_full_unstemmed | Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title_short | Cost Efficiency of Chinese Commercial Banks - A Stochastic Frontier Analysis |
| title_sort | cost efficiency of chinese commercial banks - a stochastic frontier analysis |
| topic | stochastic frontier analysis; cost X-efficiency; China banks |
| url | https://eprints.nottingham.ac.uk/30034/ |