Abstract
In this article the cost efficiency characteristics of the British retail-banking sector are investigated. Distribution-free cost efficiency, economies of scale, economies of scope and cost complementarities are all measured. The study employs a one way fixed effects model with a translog specification of productive technology. Both 'production' and 'intermediation' models of bank production are employed and contrasted. Overall, increasing economies of scale and a low level of dispersion of cost efficiency are observed in this most important commercial sector.
| Original language | English |
|---|---|
| Pages (from-to) | 159-174 |
| Number of pages | 16 |
| Journal | Service industries journal |
| Volume | 21 |
| Issue number | 2 |
| DOIs | |
| Publication status | Published - 2001 |