Title: Research on the relationship between income structure and income efficiency of China's commercial banks
Abstract: Applying the stochastic frontier approach and data envelopment analysis,this paper evauates the overall technical efficiency of gross income and the monomial technical efficiencies of interest income and non-interest income of 14 commercial banks of China over the period from 1998 to 2003,and analyzes the relationship among the interest income efficiency,non-interest income efficiency,the proportion of non-interest income to gross income and overall technical efficiency of gross income with regression equation.The result shows: all kinds of technical efficiencies of(China's) commercial banks are not well;the efficiencies of joint-stock commercial banks are better than those of the commercial banks owned by the state;technical efficiencies of interest income and non-interest income have positive influence on the overall technical efficiency of gross income of(China's) commercial banks;the proportion of non-interest income to gross income has negative influence on the overall technical efficiency of gross income of (China's) commercial banks.This paper displays the influence of banks' income structure and monomial technical efficiencies of interest income and non-interest income on banks' overall efficiency of gross income,validates the conclusion that non-interest income has positive influence on overall technical efficiency of gross income of China's commercial banks and provides some policy suggestions pertinently.
Publication Year: 2006
Publication Date: 2006-01-01
Language: en
Type: article
Access and Citation
Cited By Count: 3
AI Researcher Chatbot
Get quick answers to your questions about the article from our AI researcher chatbot