Determinants of bank efficiency: evidence from the Latin American banking industry

Fil: Jiménez-Hernández, Ignacio. Departamento de Economía Internacional y de España, Universidad de Granada; España.

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Autores principales: Jiménez Hernandez, Ignacio, Palazzo, Gabriel, Sáez-Fernández, Javier
Formato: publishedVersion Artículo
Lenguaje:Inglés
Publicado: Emerald Publishing Limited 2021
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Acceso en línea:http://repositorio.cedes.org/handle/123456789/4605
https://www.emerald.com/insight/content/doi/10.1108/AEA-09-2019-0027/full/html
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spelling I61-R167-123456789-46052023-08-07T16:33:20Z Determinants of bank efficiency: evidence from the Latin American banking industry Jiménez Hernandez, Ignacio Palazzo, Gabriel Sáez-Fernández, Javier Bancos Comerciales Análisis Económico Fil: Jiménez-Hernández, Ignacio. Departamento de Economía Internacional y de España, Universidad de Granada; España. Fil: Palazzo, Gabriel. CEDES. Centro de Estudio de Estado y Sociedad, Área de Economía. Consejo Nacional de Investigaciones Científicas y Técnicas (CONICET); Argentina. Fil: Sáez Fernández, Javier. Departamento de Economía Internacional y de España, Universidad de Granada; España. Purpose: The purpose of this paper is to analyze a variety of factors that can explain the differences in commercial bank efficiency among 17 countries in Latin America (LatAm). Design/methodology/approach: In a first stage, data envelopment analysis (DEA) and conditional efficiency analysis techniques are used to assess the relative efficiency level of 409 banks for the 2014-2016 period. The conditional efficiency approach considers environmental variables (that are beyond the manager’s control), which could influence the shape and the level of the boundary of the attainable set. In the second stage, the resulting conditional efficiency scores are correlated with internal variables (those that are under the manager’s control), which might affect the distribution of the inefficiencies. For this purpose, an econometric approach developed by Simar and Wilson (2007) is used. Findings: First stage scores reveal the heterogeneity of average efficiency within the region. Regarding the factors that may explain the differences in performance in the LatAm banking sector, the results allow us to state that certain internal variables such as bank size, the ratio of loans to total assets and the ratio of non-performing loans show the expected relationship to efficiency, in line with much of the previous literature. Originality/value: This is the first time that conditional efficiency and Simar and Wilson (2007) approaches have been applied at the same time to analyse the LatAm banking industry. 2021-02-22T16:39:46Z 2021-02-22T16:39:46Z 2019-12-02 info:eu-repo/semantics/publishedVersion info:eu-repo/semantics/article info:ar-repo/semantics/artículo Jiménez Hernández I, Palazzo G, Sáez-Fernández J. Determinants of bank efficiency: evidence from the Latin American banking industry. Appl Econ Anal. 2019;27(8):184-206. 2632-7627 http://repositorio.cedes.org/handle/123456789/4605 10.1108/AEA-09-2019-0027 https://www.emerald.com/insight/content/doi/10.1108/AEA-09-2019-0027/full/html eng info:eu-repo/semantics/openAccess https://creativecommons.org/licenses/by/4.0/ application/pdf Emerald Publishing Limited Appl Econ Anal. 2019;27(8):184-206.
institution Centro de Estudios de Estado y Sociedad (CEDES)
institution_str I-61
repository_str R-167
collection Respositorio Digital CRIS del CEDES - Centro de Estudios de Estado y Sociedad
language Inglés
topic Bancos Comerciales
Análisis Económico
spellingShingle Bancos Comerciales
Análisis Económico
Jiménez Hernandez, Ignacio
Palazzo, Gabriel
Sáez-Fernández, Javier
Determinants of bank efficiency: evidence from the Latin American banking industry
topic_facet Bancos Comerciales
Análisis Económico
description Fil: Jiménez-Hernández, Ignacio. Departamento de Economía Internacional y de España, Universidad de Granada; España.
format publishedVersion
Artículo
Artículo
author Jiménez Hernandez, Ignacio
Palazzo, Gabriel
Sáez-Fernández, Javier
author_facet Jiménez Hernandez, Ignacio
Palazzo, Gabriel
Sáez-Fernández, Javier
author_sort Jiménez Hernandez, Ignacio
title Determinants of bank efficiency: evidence from the Latin American banking industry
title_short Determinants of bank efficiency: evidence from the Latin American banking industry
title_full Determinants of bank efficiency: evidence from the Latin American banking industry
title_fullStr Determinants of bank efficiency: evidence from the Latin American banking industry
title_full_unstemmed Determinants of bank efficiency: evidence from the Latin American banking industry
title_sort determinants of bank efficiency: evidence from the latin american banking industry
publisher Emerald Publishing Limited
publishDate 2021
url http://repositorio.cedes.org/handle/123456789/4605
https://www.emerald.com/insight/content/doi/10.1108/AEA-09-2019-0027/full/html
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