Banks total factor productivity change in a developing economy: does ownership and origins matter?

This paper employs the Malmquist Productivity Index (MPI) method to analyze the productivity of the Malaysian banking sector during the period 1995–2004. The empirical findings indicate that the Malaysian banking sector has exhibited productivity regress due to technological regress rather than effi...

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Main Author: Sufian, Fadzlan
Format: Article
Language:English
Published: Elsevier 2011
Subjects:
Online Access:http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/1/ASIECO761.pdf
id iium-5205
recordtype eprints
spelling iium-52052013-06-26T07:05:06Z http://irep.iium.edu.my/5205/ Banks total factor productivity change in a developing economy: does ownership and origins matter? Sufian, Fadzlan HG1501 Banking This paper employs the Malmquist Productivity Index (MPI) method to analyze the productivity of the Malaysian banking sector during the period 1995–2004. The empirical findings indicate that the Malaysian banking sector has exhibited productivity regress due to technological regress rather than efficiency decline. We find that the foreign banks have exhibited productivity regress, while their domestic peers have exhibited a marginal productivity increase. During the period under study, productivity levels seems to be positively associated with the stock exchange listed banks, but is negatively related to foreign ownership. In essence, the findings provide support to the home field advantage and the ‘‘limited form’’ of the global advantage hypotheses. On the other hand, the empirical findings seem to reject the ‘liability of unfamiliarness’ hypothesis. Elsevier 2011-02 Article PeerReviewed application/pdf en http://irep.iium.edu.my/5205/1/ASIECO761.pdf Sufian, Fadzlan (2011) Banks total factor productivity change in a developing economy: does ownership and origins matter? Journal of Asian Economics, 22 (1). pp. 84-98. ISSN 1049-0078 http://www.elsevier.com/wps/find/journaldescription.cws_home/620171/description DOI: 10.1016/j.asieco.2010.07.007
repository_type Digital Repository
institution_category Local University
institution International Islamic University Malaysia
building IIUM Repository
collection Online Access
language English
topic HG1501 Banking
spellingShingle HG1501 Banking
Sufian, Fadzlan
Banks total factor productivity change in a developing economy: does ownership and origins matter?
description This paper employs the Malmquist Productivity Index (MPI) method to analyze the productivity of the Malaysian banking sector during the period 1995–2004. The empirical findings indicate that the Malaysian banking sector has exhibited productivity regress due to technological regress rather than efficiency decline. We find that the foreign banks have exhibited productivity regress, while their domestic peers have exhibited a marginal productivity increase. During the period under study, productivity levels seems to be positively associated with the stock exchange listed banks, but is negatively related to foreign ownership. In essence, the findings provide support to the home field advantage and the ‘‘limited form’’ of the global advantage hypotheses. On the other hand, the empirical findings seem to reject the ‘liability of unfamiliarness’ hypothesis.
format Article
author Sufian, Fadzlan
author_facet Sufian, Fadzlan
author_sort Sufian, Fadzlan
title Banks total factor productivity change in a developing economy: does ownership and origins matter?
title_short Banks total factor productivity change in a developing economy: does ownership and origins matter?
title_full Banks total factor productivity change in a developing economy: does ownership and origins matter?
title_fullStr Banks total factor productivity change in a developing economy: does ownership and origins matter?
title_full_unstemmed Banks total factor productivity change in a developing economy: does ownership and origins matter?
title_sort banks total factor productivity change in a developing economy: does ownership and origins matter?
publisher Elsevier
publishDate 2011
url http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/
http://irep.iium.edu.my/5205/1/ASIECO761.pdf
first_indexed 2023-09-18T20:13:42Z
last_indexed 2023-09-18T20:13:42Z
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