Ownership and Performance of China’s Banking Industry.

• Main Authors: Yi-Yuan Su, 蘇義淵
• Other Authors: Jin-Li Hu
• Format: Others
• Language: zh-TW
• Published: 2002
• Online Access: http://ndltd.ncl.edu.tw/handle/13351811340914455291

碩士 === 淡江大學 === 大陸研究所 === 90 === The China government started the share allocation reform of banking industry since 1979. This thesis studies 12 banks in China during the period of 1996-2000, with a comparison between the state-owned and stock allocation-reformed banks. We follow the Stochastic Frontiers (SF) method proposed by Battese and Coelli (1995) to estimate cost efficiencies on China’s bank industry. The one-stage estimation and panel data model in a freeware, Frontier 4.1, is applied to estimate cost inefficiencies. We intend to empirically test whether or not the share allocation reform in China’s banking industry improves the cost efficiency. This research also tries to identify those factors affecting a bank’s cost efficiency. Our major findings are as follows: 1. There is no significant difference in cost efficiencies between the state-owned and share allocation-reformed banks. 2. The deposit amount is a significant factor of worsening a Chinese bank’s cost efficiency. 3. The investment amount has a significant effect on worsening a bank’s cost efficiency. 4. The cost efficiency of a share allocation-reformed bank in average has a higher cost efficiency than a state-owned bank. 5. The number of employees and founding periods of bank have no significant impacts on a Chinese bank’s cost efficiency.