{"product_id":"efficiency-and-productivity-growth-isbn-9781119967521","title":"Efficiency and Productivity Growth","description":"\u003cp\u003e\u003cb\u003eAn authoritative introduction to efficiency and productivity analysis with applications in both the banking and finance industry\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIn light of the recent global financial crisis, several studies have examined the efficiency of financial institutions. A number of open questions remain and this book reviews recent issues and state-of-the-art techniques in the assessment of the efficiency and productivity of financial institutions. Written by an international team of experts, the first part of the book links efficiency with a variety of topics like Latin American banking, market discipline and governance, economics of scale, off-balance-sheet activities, productivity of foreign banks, mergers and acquisitions, and mutual fund ratings. The second part of the book compares existing techniques and state-of-the-art techniques in the bank efficiency literature, including among others, network data envelopment analysis and quantile regression.\u003c\/p\u003e \u003cp\u003eThe book is suitable for academics and professionals as well as postgraduate research students working in banking and finance.\u003c\/p\u003e \u003cp\u003e\u003ci\u003eEfficiency and Productivity Growth: \u003c\/i\u003e\u003c\/p\u003e \u003cul\u003e \u003cli\u003eProvides an authoritative introduction to efficiency and productivity analysis with applications in both the banking and mutual funds industry such as efficiency of Asian banks, cooperatives and not-for-profit credit associations.\u003c\/li\u003e \u003cli\u003eExplores contemporary research issues in the area of efficiency and productivity measurement in the financial sector.\u003c\/li\u003e \u003cli\u003eEvaluates the most suitable approaches to selecting inputs and outputs as well as selecting the most efficient techniques, such as parametric and non-parametric, to estimate the models.\u003c\/li\u003e \u003c\/ul\u003e  \u003cp\u003ePreface xiii\u003c\/p\u003e \u003cp\u003eContributors xvii\u003c\/p\u003e \u003cp\u003e\u003cb\u003e1 Bank efficiency in Latin America 1\u003c\/b\u003e\u003cbr\u003e \u003ci\u003ePhilip Molyneux and Jonathan Williams\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e1.1 Introduction 1\u003c\/p\u003e \u003cp\u003e1.2 Privatization and foreign banks in Latin America 2\u003c\/p\u003e \u003cp\u003e1.3 Methodology 4\u003c\/p\u003e \u003cp\u003e1.4 Model specification and data 7\u003c\/p\u003e \u003cp\u003e1.5 Estimated parameters and cost efficiency 10\u003c\/p\u003e \u003cp\u003e1.6 Conclusion 15\u003c\/p\u003e \u003cp\u003eReferences 15\u003c\/p\u003e \u003cp\u003e\u003cb\u003e2 A primer on market discipline and governance of financial institutions for those in a state of shocked disbelief 19\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eJoseph P. Hughes and Loretta J. Mester\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e2.1 Introduction 20\u003c\/p\u003e \u003cp\u003e2.2 Assessing the performance of financial institutions 21\u003c\/p\u003e \u003cp\u003e2.3 Market discipline, public regulation, and the federal safety net 24\u003c\/p\u003e \u003cp\u003e2.4 Sources of market discipline 27\u003c\/p\u003e \u003cp\u003e2.4.1 Ownership structure 27\u003c\/p\u003e \u003cp\u003e2.4.2 Capital markets 37\u003c\/p\u003e \u003cp\u003e2.4.3 Product markets 37\u003c\/p\u003e \u003cp\u003e2.4.4 Labor markets 39\u003c\/p\u003e \u003cp\u003e2.4.5 Boards of directors 40\u003c\/p\u003e \u003cp\u003e2.4.6 Compensation 41\u003c\/p\u003e \u003cp\u003e2.5 Conclusions 42\u003c\/p\u003e \u003cp\u003eAppendix 2.A: Measuring performance based on the highest potential market value of assets 43\u003c\/p\u003e \u003cp\u003eReferences 44\u003c\/p\u003e \u003cp\u003e\u003cb\u003e3 Modeling economies of scale in banking: Simple versus complex models 49\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eRobert DeYoung\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e3.1 Introduction 49\u003c\/p\u003e \u003cp\u003e3.2 The increasing size of banks 50\u003c\/p\u003e \u003cp\u003e3.3 What has allowed banks to grow larger? 53\u003c\/p\u003e \u003cp\u003e3.3.1 New banking technologies 53\u003c\/p\u003e \u003cp\u003e3.4 Why do banks choose to be large? 54\u003c\/p\u003e \u003cp\u003e3.4.1 Objectives of bank management 55\u003c\/p\u003e \u003cp\u003e3.4.2 Government subsidies 56\u003c\/p\u003e \u003cp\u003e3.4.3 Scale economies 56\u003c\/p\u003e \u003cp\u003e3.5 Econometric modeling of bank scale economies 57\u003c\/p\u003e \u003cp\u003e3.5.1 Findings from 50 years of studies 58\u003c\/p\u003e \u003cp\u003e3.6 Weaknesses in econometric modeling of bank scale economies 60\u003c\/p\u003e \u003cp\u003e3.6.1 Few and far between 61\u003c\/p\u003e \u003cp\u003e3.6.2 Strategic groups 62\u003c\/p\u003e \u003cp\u003e3.6.3 External costs 68\u003c\/p\u003e \u003cp\u003e3.7 Other evidence on bank scale economies 68\u003c\/p\u003e \u003cp\u003e3.7.1 Survivor analysis 68\u003c\/p\u003e \u003cp\u003e3.7.2 The market price of banks 70\u003c\/p\u003e \u003cp\u003e3.7.3 Bank size and bank risk-return trade-offs 71\u003c\/p\u003e \u003cp\u003e3.8 Conclusions 73\u003c\/p\u003e \u003cp\u003eReferences 74\u003c\/p\u003e \u003cp\u003e\u003cb\u003e4 Optimal size in banking: The role of off-balance sheet operations 77\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eJaap W.B. Bos and James W. Kolari\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e4.1 Literature review 78\u003c\/p\u003e \u003cp\u003e4.2 Off-balance sheet activities of European banks 79\u003c\/p\u003e \u003cp\u003e4.3 Methodology 83\u003c\/p\u003e \u003cp\u003e4.3.1 Stochastic frontier analysis 83\u003c\/p\u003e \u003cp\u003e4.3.2 Functional form 84\u003c\/p\u003e \u003cp\u003e4.3.3 Scale economies 85\u003c\/p\u003e \u003cp\u003e4.4 Data 86\u003c\/p\u003e \u003cp\u003e4.5 Results 86\u003c\/p\u003e \u003cp\u003e4.5.1 Increasing OBS operations 86\u003c\/p\u003e \u003cp\u003e4.5.2 Nonseparability effects of OBS operations 89\u003c\/p\u003e \u003cp\u003e4.6 Conclusion 91\u003c\/p\u003e \u003cp\u003eReferences 91\u003c\/p\u003e \u003cp\u003e\u003cb\u003e5 Productivity of foreign banks: Evidence from a financial center 95\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eClaudia Curi and Ana Lozano-Vivas\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e5.1 Introduction 95\u003c\/p\u003e \u003cp\u003e5.2 Literature overview 98\u003c\/p\u003e \u003cp\u003e5.3 Methodology 100\u003c\/p\u003e \u003cp\u003e5.3.1 TFP growth measures 100\u003c\/p\u003e \u003cp\u003e5.3.2 Estimation of the TFP growth measures 102\u003c\/p\u003e \u003cp\u003e5.4 Data and sources 103\u003c\/p\u003e \u003cp\u003e5.5 Empirical results 109\u003c\/p\u003e \u003cp\u003e5.5.1 Productivity growth over time 109\u003c\/p\u003e \u003cp\u003e5.5.2 Breaking down productivity growth 111\u003c\/p\u003e \u003cp\u003e5.6 Conclusions 116\u003c\/p\u003e \u003cp\u003eAcknowledgments 118\u003c\/p\u003e \u003cp\u003eReferences 118\u003c\/p\u003e \u003cp\u003e\u003cb\u003e6 The impact of merger and acquisition on efficiency and market power 123\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eFranco Fiordelisi and Francesco Saverio Stentella Lopes\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e6.1 Introduction 123\u003c\/p\u003e \u003cp\u003e6.2 Literature review 125\u003c\/p\u003e \u003cp\u003e6.3 Empirical design 125\u003c\/p\u003e \u003cp\u003e6.3.1 Data 125\u003c\/p\u003e \u003cp\u003e6.3.2 Variables 127\u003c\/p\u003e \u003cp\u003e6.3.3 The econometric approach 129\u003c\/p\u003e \u003cp\u003e6.4 Results 129\u003c\/p\u003e \u003cp\u003e6.5 Conclusions 131\u003c\/p\u003e \u003cp\u003eReferences 132\u003c\/p\u003e \u003cp\u003e\u003cb\u003e7 Backtesting superfund portfolio strategies based on frontier-based mutual fund ratings 135\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eOlivier Brandouy, Kristiaan Kerstens, and Ignace Van de Woestyne\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e7.1 Introduction 135\u003c\/p\u003e \u003cp\u003e7.2 Frontier-based mutual funds rating models 137\u003c\/p\u003e \u003cp\u003e7.2.1 A taxonomy 137\u003c\/p\u003e \u003cp\u003e7.2.2 MF frontier rating models retained 142\u003c\/p\u003e \u003cp\u003e7.3 Backtesting setup, data description, and frontier-based portfolio models 144\u003c\/p\u003e \u003cp\u003e7.3.1 Backtesting setup 144\u003c\/p\u003e \u003cp\u003e7.3.2 Frontier-based portfolio models 146\u003c\/p\u003e \u003cp\u003e7.3.3 Data description 146\u003c\/p\u003e \u003cp\u003e7.4 Empirical analysis 148\u003c\/p\u003e \u003cp\u003e7.4.1 Descriptive statistics 148\u003c\/p\u003e \u003cp\u003e7.4.2 Analysis of both hedonic rating models 148\u003c\/p\u003e \u003cp\u003e7.4.3 Backtesting results for 48 different strategies 153\u003c\/p\u003e \u003cp\u003e7.4.4 Backtesting results for MF rating models: Some plausible explanations 159\u003c\/p\u003e \u003cp\u003e7.5 Conclusions 166\u003c\/p\u003e \u003cp\u003eAcknowledgments 168\u003c\/p\u003e \u003cp\u003eReferences 168\u003c\/p\u003e \u003cp\u003e\u003cb\u003e8 Bank efficiency measurement and network DEA: A discussion of key issues and illustration of recent developments in the field 171\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eNecmi K. Avkiran\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e8.1 Introduction 171\u003c\/p\u003e \u003cp\u003e8.2 Global financial crisis and the importance of DEA in bank performance analysis 172\u003c\/p\u003e \u003cp\u003e8.3 The wider contribution of DEA to bank efficiency analysis and potential improvements 173\u003c\/p\u003e \u003cp\u003e8.4 Principal advantages and disadvantages of DEA 174\u003c\/p\u003e \u003cp\u003e8.5 DEA versus stochastic frontier analysis 176\u003c\/p\u003e \u003cp\u003e8.6 Drilling deeper with network DEA in search of inefficiencies 177\u003c\/p\u003e \u003cp\u003e8.6.1 Definition of ‘Network’ in banking applications of NDEA 177\u003c\/p\u003e \u003cp\u003e8.6.2 Conceptualizing bank branch production 179\u003c\/p\u003e \u003cp\u003e8.6.3 Network slacks-based measure of efficiency 181\u003c\/p\u003e \u003cp\u003e8.6.4 A brief numerical example 183\u003c\/p\u003e \u003cp\u003e8.6.5 Jackknifing versus bootstrapping 185\u003c\/p\u003e \u003cp\u003e8.7 Moving forward with DEA 186\u003c\/p\u003e \u003cp\u003e8.8 Conclusions 187\u003c\/p\u003e \u003cp\u003eAppendix 8.A: Jackknifing 188\u003c\/p\u003e \u003cp\u003eReferences 189\u003c\/p\u003e \u003cp\u003e\u003cb\u003e9 A dynamic network DEA model with an application to Japanese Shinkin banks 193\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eHirofumi Fukuyama and William L. Weber\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e9.1 Introduction 193\u003c\/p\u003e \u003cp\u003e9.2 Literature review of productivity analysis in credit banks in Japan 194\u003c\/p\u003e \u003cp\u003e9.3 Dynamic network production 196\u003c\/p\u003e \u003cp\u003e9.3.1 The two-stage technology 196\u003c\/p\u003e \u003cp\u003e9.3.2 Three-year dynamic DEA 199\u003c\/p\u003e \u003cp\u003e9.4 Cooperative Shinkin banks: An empirical illustration 202\u003c\/p\u003e \u003cp\u003e9.4.1 Defining bank inputs and outputs 202\u003c\/p\u003e \u003cp\u003e9.4.2 NPLs in the efficiency\/productivity measurement 203\u003c\/p\u003e \u003cp\u003e9.4.3 Data 204\u003c\/p\u003e \u003cp\u003e9.5 Estimates 205\u003c\/p\u003e \u003cp\u003e9.6 Summary and conclusions 209\u003c\/p\u003e \u003cp\u003eReferences 211\u003c\/p\u003e \u003cp\u003e\u003cb\u003e10 Effects of specification choices on efficiency in DEA and SFA 215\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eMichael Koetter and Aljar Meesters\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e10.1 Introduction 215\u003c\/p\u003e \u003cp\u003e10.2 Bank benchmarking background 216\u003c\/p\u003e \u003cp\u003e10.2.1 Theoretical foundations 216\u003c\/p\u003e \u003cp\u003e10.2.2 Benchmarking techniques 217\u003c\/p\u003e \u003cp\u003e10.2.3 Specification options 218\u003c\/p\u003e \u003cp\u003e10.3 Methodologies 220\u003c\/p\u003e \u003cp\u003e10.3.1 Stochastic frontier analysis 220\u003c\/p\u003e \u003cp\u003e10.3.2 Data envelopment analysis 221\u003c\/p\u003e \u003cp\u003e10.4 Data 221\u003c\/p\u003e \u003cp\u003e10.5 Results 225\u003c\/p\u003e \u003cp\u003e10.5.1 Efficiency distributions 225\u003c\/p\u003e \u003cp\u003e10.5.2 Rank correlations 230\u003c\/p\u003e \u003cp\u003e10.5.3 Extreme performers 231\u003c\/p\u003e \u003cp\u003e10.5.4 Accounting-based indicators 232\u003c\/p\u003e \u003cp\u003e10.6 Conclusion 233\u003c\/p\u003e \u003cp\u003eReferences 234\u003c\/p\u003e \u003cp\u003e\u003cb\u003e11 Efficiency and performance evaluation of European cooperative banks 237\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eMichael Doumpos and Constantin Zopounidis\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e11.1 Introduction 237\u003c\/p\u003e \u003cp\u003e11.2 Methodology 239\u003c\/p\u003e \u003cp\u003e11.2.1 Data envelopment analysis models 239\u003c\/p\u003e \u003cp\u003e11.2.2 Multicriteria evaluation 240\u003c\/p\u003e \u003cp\u003e11.3 Empirical results 241\u003c\/p\u003e \u003cp\u003e11.3.1 Data and variables 241\u003c\/p\u003e \u003cp\u003e11.3.2 Efficiency analysis results 244\u003c\/p\u003e \u003cp\u003e11.3.3 Multicriteria evaluation results 247\u003c\/p\u003e \u003cp\u003e11.4 Conclusions 251\u003c\/p\u003e \u003cp\u003eReferences 251\u003c\/p\u003e \u003cp\u003e\u003cb\u003e12 A quantile regression approach to bank efficiency measurement 253\u003c\/b\u003e\u003cbr\u003e \u003ci\u003eAnastasia Koutsomanoli-Filippaki, Emmanuel Mamatzakis, and Fotios Pasiouras\u003c\/i\u003e\u003c\/p\u003e \u003cp\u003e12.1 Introduction 253\u003c\/p\u003e \u003cp\u003e12.2 Methodology and data 254\u003c\/p\u003e \u003cp\u003e12.2.1 Methodology 254\u003c\/p\u003e \u003cp\u003e12.2.2 Data and specification of the frontier 256\u003c\/p\u003e \u003cp\u003e12.3 Empirical results 257\u003c\/p\u003e \u003cp\u003e12.3.1 Cost efficiency estimates 257\u003c\/p\u003e \u003cp\u003e12.3.2 Determinants of cost efficiency 259\u003c\/p\u003e \u003cp\u003e12.4 Conclusions 262\u003c\/p\u003e \u003cp\u003eAppendix 12.A: Information on variables 262\u003c\/p\u003e \u003cp\u003eReferences 265\u003c\/p\u003e \u003cp\u003eIndex 267\u003c\/p\u003e  \u003cp\u003e\u003cstrong\u003eFotios Pasiouras\u003c\/strong\u003e, Department of Production Engineering and Management, Technical University of Crete, Greece.  \u003c\/p\u003e\u003cp\u003e\u003cb\u003eAn authoritative introduction to efficiency and productivity analysis with applications in both the banking and finance industry\u003c\/b\u003e\u003c\/p\u003e \u003cp\u003eIn light of the recent global financial crisis, several studies have examined the efficiency of financial institutions. A number of open questions remain and this book reviews recent issues and state-of-the-art techniques in the assessment of the efficiency and productivity of financial institutions. Written by an international team of experts, the first part of the book links efficiency with a variety of topics like Latin American banking, market discipline and governance, economics of scale, off-balance-sheet activities, productivity of foreign banks, mergers and acquisitions, and mutual fund ratings. The second part of the book compares existing techniques and state-of-the-art techniques in the bank efficiency literature, including among others, network data envelopment analysis and quantile regression.\u003c\/p\u003e \u003cp\u003eThe book is suitable for academics and professionals as well as postgraduate research students working in banking and finance.\u003c\/p\u003e \u003cp\u003e\u003ci\u003eEfficiency and Productivity Growth: \u003c\/i\u003e\u003c\/p\u003e \u003cul\u003e \u003cli\u003eProvides an authoritative introduction to efficiency and productivity analysis with applications in both the banking and mutual funds industry such as efficiency of Asian banks, cooperatives and not-for-profit credit associations.\u003c\/li\u003e \u003cli\u003eExplores contemporary research issues in the area of efficiency and productivity measurement in the financial sector.\u003c\/li\u003e \u003c\/ul\u003e Evaluates the most suitable approaches to selecting inputs and outputs as well as selecting the most efficient techniques, such as parametric and non-parametric, to estimate the models.","brand":"Wiley","offers":[{"title":"Default Title","offer_id":47989108572389,"sku":"NP9781119967521","price":109.95,"currency_code":"USD","in_stock":false}],"thumbnail_url":"\/\/cdn.shopify.com\/s\/files\/1\/1842\/7735\/files\/9781119967521.jpg?v=1761782829","url":"https:\/\/k12savings.com\/es\/products\/efficiency-and-productivity-growth-isbn-9781119967521","provider":"K12savings","version":"1.0","type":"link"}