Abstract:
Under the China's New Normal Economy, it is crucial that Chinese commercial banks should at present actively promote the transformation and development of banking sector with endogenous power. This paper applies the multi-directional efficiency analysis (MEA) to measure the endogenous efficiency of 114 Chinese commercial banks covering the period over 2004 to 2015, and further analyzes the individual efficiency of each input and output variable. The results show that insufficient non-interest income and excessive non-performing loans are the main sources of banking inefficiency. The city commercial banks have lower efficiency than state-owned commercial banks and joint-stock commercial banks, while city commercial banks have the most potential improvement in non-interest income. This paper also compares traditional directional distance function (DDF) with the MEA approach, and it is found that the result in DDF significantly overestimates bank efficiency, whereas that in MEA is more meaningful.
朱宁, 梁林, 沈智扬, 杜文洁. 经济新常态背景下中国商业银行内生性效率变化及分解[J]. 金融研究, 2018, 457(7): 108-123.
ZHU Ning, LIANG Lin, SHEN Zhiyang, DU Wenjie. Endogenous Efficiency of Chinese Commercial Banks and Its Decomposition under the China's New Normal Economy. Journal of Financial Research, 2018, 457(7): 108-123.
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