Measuring Cost Efficiency Of Ukrainian Banks In 2008

• Authors: Anatoliy Pilyavskyy , Yuriy Matsiv , Olga Vovchak
• Languages of publication: EN

Abstracts

EN

The paper presents the results of a stochastic frontier analysis (SFA) of cost-efficiency of Ukrainian banks. As of lack of data on the personnel costs, we had to set limits to the year of 2008 only. To modeling banking activity, we apply the intermediary approach as one of the most commonly used in literature. Considering the results of statistical tests, we chose translog functional form of cost function and half-normal distribution of random inefficiency term. As a result of the research, we found out that efficiency of Ukrainian banks varies within 0.5224 and 0.9869 with an average value of 0.8734. Having checked a range of hypotheses, we discovered insignificant distinctions among banks by their size, type of owner and location.

• Publisher: Uniwersytet Łódzki. Wydawnictwo Uniwersytetu Łódzkiego
• Journal: Comparative Economic Research. Central and Eastern Europe
• Year: 2012
• Volume: 15
• Issue: 4
• Pages: 207-217

Dates

published

2012-12-01

online

2013-03-08

Contributors

author

Anatoliy Pilyavskyy

• Ph.D., Full Professor, Department of Management, Lviv Academy of Commerce

author

Yuriy Matsiv

• Department of Management, Lviv Academy of Commerce

author

Olga Vovchak

• Ph.D., Full Professor, Institute of Economics and Finance, Lviv Academy of Commerce

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Identifiers

DOI

10.2478/v10103-012-0036-4