Antecedents of Total Factor Productivity Change: Empirical Evidence from the Chinese Banking Sector |
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| Authors: | Fadzlan Sufian |
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| Institution: | (1) Khazanah Research and Investment Strategy, Khazanah Nasional Berhad, Level 35, Tower 2, Petronas Twin Towers, Kuala Lumpur City Centre, 50088 Kuala Lumpur, Malaysia;(2) Department of Economics, Faculty of Economics and Management, Universiti Putra Malaysia, Serdang, Selangor, Malaysia |
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| Abstract: | By applying the non-parametric Malmquist Productivity Index (MPI) method, this paper attempts to investigate the sources of
productivity changes of China’s State Owned Commercial Banks (SOCBs) and Joint Stock Commercial Banks (JSCBs) during the period
2000–2005. The empirical findings suggest that the China banking sector has exhibited productivity progress attributed to
the increase in efficiency. The empirical findings suggest that the SOCBs and the JSCBs have exhibited productivity progress
of 0.2 and 1.3%, respectively.
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| Keywords: | Productivity change Malmquist productivity index (MPI) China |
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