Abstract

The paper uses Hicks-Moorsteen TFP indicator to measure the changes of total factor productivity in China’s commercial banks from 2010 to 2014 on the basis of big data in BankScope database. By analyzing the sample data and total factor productivity, the paper finds out in-depth motives of the dynamic changes of TFP. At present, domestic commercial banks are at the stage of deepening reforms. Thus, exploring into the motives that drive the efficiency of commercial banks in recent years and affecting factors is of great instructive roles for national supervision institutions’ formulating relevant monitoring policies, improving banks’ efficiency in resource allocation, and launching profound reforms in banks.

Highlights

  • The studies on the efficiency of commercial banks in China are always the focus in the academic field

  • Shareholding commercial banks’ annual total factor productivity (TFP) was 1.019, i.e., TFP increased by 1.9% every year on average, which mainly contributed to the improvement of scale efficiency and the slow-down of reduction of technological progress

  • The following conclusions are drawn: 1) The overall TFP of domestic commercial banks reduced by 0.9% every year

Read more

Summary

Introduction

The studies on the efficiency of commercial banks in China are always the focus in the academic field. The entire banking industry’s efficiency implies domestic industries’ outcome of economic resource application to a certain extent. Domestic and foreign banking sectors’ attitude to the Chinese banking industry has changed so that its. (2016) Analysis of Total Factor Productivity in China’s Commercial Banks. The promotion of China’s banking industry in the global is to rely on the scale or efficiency? Exploring into the motives that drive the efficiency of commercial banks in recent years and affecting factors is of huge help for figuring out the status and core competitiveness of domestic banks as well as great instructive roles for guiding the new in-depth reforms

Literature Review
Theories and Methodologies
Selection of Samples
Selection of Indicators
Analysis of Static Efficiency
Analysis of Dynamic Productivity
Findings
Conclusions
Full Text
Paper version not known

Talk to us

Join us for a 30 min session where you can share your feedback and ask us any queries you have

Schedule a call

Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.