Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia
Takaful insurance industry is growing rapidly after nearly 30 years of operation. It is therefore desirable for the performance of this industry to be assessed to measure its level of achievement. Since the industry comprises conventional and Takaful insurance industries, then the form of organisa...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Penerbit Universiti Kebangsaan Malaysia
2018
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| Online Access: | http://journalarticle.ukm.my/19630/ http://journalarticle.ukm.my/19630/1/jeko_521-11.pdf |
| _version_ | 1848814890672717824 |
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| author | Roziana Baharin, Zaidi Isa, |
| author_facet | Roziana Baharin, Zaidi Isa, |
| author_sort | Roziana Baharin, |
| building | UKM Institutional Repository |
| collection | Online Access |
| description | Takaful insurance industry is growing rapidly after nearly 30 years of operation. It is therefore desirable for the
performance of this industry to be assessed to measure its level of achievement. Since the industry comprises conventional
and Takaful insurance industries, then the form of organisation may affect the efficiency. This study used the Meta
Stochastic Analysis Parametric Approach in order to measure the relationship between efficiency and organisational
structure for family Takaful operators and life insurance operators in Malaysia. The analysis of this study applied the
modified Box Cox Fourier functional form for a period of time ranging from 2004 to 2015. The findings showed that
there is a significant difference in cost efficiency between the Takaful industry and the life insurance industry. Overall,
the Takaful industry has lower cost efficiencies than conventional insurance, proving that the form of organisation
has an effect on efficiency. The findings also showed that the average difference in cost efficiency is influenced by
technology level gaps. |
| first_indexed | 2025-11-15T00:41:16Z |
| format | Article |
| id | oai:generic.eprints.org:19630 |
| institution | Universiti Kebangasaan Malaysia |
| institution_category | Local University |
| language | English |
| last_indexed | 2025-11-15T00:41:16Z |
| publishDate | 2018 |
| publisher | Penerbit Universiti Kebangsaan Malaysia |
| recordtype | eprints |
| repository_type | Digital Repository |
| spelling | oai:generic.eprints.org:196302022-09-08T07:53:34Z http://journalarticle.ukm.my/19630/ Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia Roziana Baharin, Zaidi Isa, Takaful insurance industry is growing rapidly after nearly 30 years of operation. It is therefore desirable for the performance of this industry to be assessed to measure its level of achievement. Since the industry comprises conventional and Takaful insurance industries, then the form of organisation may affect the efficiency. This study used the Meta Stochastic Analysis Parametric Approach in order to measure the relationship between efficiency and organisational structure for family Takaful operators and life insurance operators in Malaysia. The analysis of this study applied the modified Box Cox Fourier functional form for a period of time ranging from 2004 to 2015. The findings showed that there is a significant difference in cost efficiency between the Takaful industry and the life insurance industry. Overall, the Takaful industry has lower cost efficiencies than conventional insurance, proving that the form of organisation has an effect on efficiency. The findings also showed that the average difference in cost efficiency is influenced by technology level gaps. Penerbit Universiti Kebangsaan Malaysia 2018 Article PeerReviewed application/pdf en http://journalarticle.ukm.my/19630/1/jeko_521-11.pdf Roziana Baharin, and Zaidi Isa, (2018) Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia. Jurnal Ekonomi Malaysia, 52 (1). pp. 135-144. ISSN 0127-1962 https://www.ukm.my/jem/issue/v52i1/ |
| spellingShingle | Roziana Baharin, Zaidi Isa, Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title | Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title_full | Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title_fullStr | Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title_full_unstemmed | Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title_short | Box Cox-Fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in Malaysia |
| title_sort | box cox-fourier flexible functional forms in stochastic metafrontier analysis : the cost efficiency of the insurance industry in malaysia |
| url | http://journalarticle.ukm.my/19630/ http://journalarticle.ukm.my/19630/ http://journalarticle.ukm.my/19630/1/jeko_521-11.pdf |