In this paper, we compare standard approaches used to handle losses in logarithmic stochastic profit frontier models with a simple novel approach. We discuss discriminatory power, rank stability and precision of profit efficiency scores. Our new method enhances rank stability and discriminatory...

The purpose of this paper is to investigate the productivity of Turkish Banks according to the effect of scale in the Post-Crises Period. The data used in this study covers the period from 2002:1 to 2004:3. We applied Data Envelopment Analysis (DEA), which is a non-parametric linear...

I use the stochastic frontier methodology to estimate a cost and a profit frontier functions. The Fourier-flexible form is used in this paper because of its flexibility. Results show that, although foreign banks are more cost efficient than domestic banks, domestic banks are more profit...

The paper investigates the performance of Indian commercial banking sector during the post reform period 1992-2004. The results indicate high levels of efficiency in costs and lower levels in profits, reflecting the importance of inefficiencies on the revenue side of banking activity. The...

Contractual savings for housing (Bausparkassen) with narrow ranges of tariff plans are used to coexist with banking hypothec, providing consumers a binary choice . We propose to form systems (lines) of savings and loan tariff plans (SLTP) for bank accounts «linking» these two mortgage...

We develop a dynamic model for analyzing the programs of contractual savings for housing (CSH). We introduce concepts of stability as well as strong and weak stability of trajectories generated by CSH programs, and obtain the necessary and sufficient conditions that guarantee fulfillment of...

It is a common place that during financial crises, like the one started in 2007, authorities provide substantial financial support to some problem banks, whilst at the same time let several others to go bankrupt. Is this happening because some particular banks are considered important and big...

The objective of this report is to analyze whether development banks in Germany, Spain and Brazil have made a strategic counter during the current crisis. The development banks (necessarily consistent with public policy) are a tool that can address the countercyclical strategy that could drive...

We discuss evidence that the microcredit industry in Bangladesh has seen emergence of large variations in the size of the microfinance institutions operating in the market-- on the one hand, there are large national-level MFIs, while on the other hand, small localized MFIs operating only within...