The Efficiency and productivity analysis of banking industry in Taiwan considering expected losses

• Main Author: 翁祥容
• Other Authors: 李文福
• Format: Others
• Language: zh-TW
• Published: 2009
• Online Access: http://ndltd.ncl.edu.tw/handle/69870633113775154453

碩士 === 國立政治大學 === 經濟研究所 === 97 === The purpose of this paper is to examine the efficiency and productivity change of Taiwan’s banks over 2004Q1-2008Q3 using data envelopment analysis. Unlike the literature of the past, this paper uses the forward-looking viewpoint to derive expected losses from loans to measure the credit risk. In addition, the loan expected loss is thought of as an undesirable output in the estimation of efficiency and productivity. On the other hand, this paper uses a VRS frontier benchmark (Ray and Desli, 1997) to analyze the sources of productivity change. This paper also compares this result with that of Färe et al.（1994）decomposition, and finds that the estimated technical changes of two approaches are significantly different. Further, this paper analyzes the factors influencing banks’ efficiency, and investigates the productivity differences between different ownerships.