The Structure of Banking Firms in the Case of Professional Agriculture Banks

• Main Authors: Shih, Wen-Bien, 施汶秉
• Other Authors: Jyh-Horng Lin
• Format: Others
• Language: zh-TW
• Published: 1996
• Online Access: http://ndltd.ncl.edu.tw/handle/47900124905727858405

碩士 === 淡江大學 === 產業經濟學系 === 84 === The previous papers about professional agriculture banks in Taiwanmainly focus on the study of financial policy in agriculture, and theagricultural loan market. Compared to other papers, this thesis adopts thetheory of banking firm and takes Nung-Min Bank and Tu-Ti Bank for examplesto analyze whether they are efficient or not. The empirical model of this thesis sets the deposits as inputs,agricultural loans and non-agricultural loans as outputs. The approach ofordinary least square is applied to estimate the residual profit function ofthis model. Through the test of superadditivity and the trans-ray concavity, theempirical result shows that the banking firm structure of Nung-Min Bank isnot optimal. Besides, if Nung-Min Bank operates specializationally, it willget more profits. On the other side, the superadditivity of Tu-Ti Bank isaccepted, and it does not take the adventage of specialization. This paper suggests that Nung-Min Bank and Tu-Ti Bank extend theirscales by increasing the number of branches or the business amounts. Bydoing this, these two banks will profit better. For lasting development ofagriculture, a critical proposal for the professional agriculture banks isto expand the agricultural loans.