The paper uses recent developments of the methodology of efficiency frontiers to provide an original modeling of the risk of volatility of banking profits which relies on the estimation of a profit frontier. This methodology allows taking into account coordinated adjustments of banks’ costs to...

Financial policy outlines the main directions of action of the financial activity. In determining financial policy, managers must take into consideration interests of all stakeholders, given the political, social, financial and monetary context of the firm, but also the technical and...

Typically, firms change their size through a row of discrete leaps over time. A very basic model allowing for discontinuous growth can be based on a couple of assumptions: (a) in the short run, the firm’s equipment and organization provide the maximum profit only for a given production level,...