206,577 research outputs found
Efficiency and Risk-Taking in Pre-Crisis Investment Banks
No full textInvestment banks’ core functions expose them to a wide array of risks. This paper analyses cost and profit efficiency for a sample of investment banks for the G7 countries (Canada, France, Germany, Italy, Japan, UK and US) and Switzerland prior to the recent financial crisis. We follow Coelli et al. (J Prod Anal 11:251–273, 1999)’s methodology to adjust the estimated cost and profit efficiency scores for environmental influences including key banks’ risks, bank- and industry- specific factors and macroeconomic conditions. Our evidence suggests that failing to account for environmental factors can considerably bias the efficiency scores for investment banks. Specifically, bank risk-taking factors (including liquidity and capital risk exposures) are found particularly important to accurately assess profit efficiency: i.e. profit efficiency estimates are consistently underestimated without accounting for bank risk-taking. Interestingly, our evidence suggests that size matters for both cost and profit efficiency, however this does not imply that more concentrated markets are more efficient
Deregulation, the Internet, and the competitive viability of large banks and community banks
No full textDeregulation, technological change, and increased competitive rivalry are transforming U.S. commercial banking from an industry dominated by thousands of small, locally focused banks into an industry where a handful of large banks could potentially span the nation and control the majority of its bank deposits. This paper examines the comparative strengths and weaknesses of large and small banks in this new environment, and outlines the strategic opportunities and threats that new technology - especially the Internet - pose for U.S. banks. We begin by documenting recent trends in bank size, industry structure, competitive conditions, and bank product mix. We argue that these trends are consistent with a simple competitive strategy framework in which commercial banks choose between two profitable business strategies: (a) a community bank business model in which banks have a local focus, a high cost structure, and sell low volumes of personalized service at high margins, and (b) a global bank business model in which banks have a national or international focus, a low cost structure, and sell high volumes of standardized financial products at low margins. Finally, we discuss how Internet banking is likely to affect this strategic equilibrium. In particular, we analyze how a shift away from brick and mortar branches and toward the Internet delivery channel will reduce the switching costs that currently dissuade retail deposit customers from changing banks. Based on the foregoing analysis, we conclude that the number of small banks will continue to decline in the future - not because the community bank business model is flawed, but because most of the small banks that use this model are poorly run. In the long-run, our analysis suggests that well-run community banks should be able to adapt their business practices to technological change and profitably co-exist with large, globally focussed banks.Banks and banking ; Financial institutions
X-efficiency Analysis of Commercial Banks in Pakistan: A Preliminary Investigation
No full textThe emergence of a fast-paced dynamic environment in the business world in general, and in the financial services sector in particular, has highlighted the significance of competition and efficiency. The need for deregulation has become a touchstone of success in fostering both competition and efficiency especially in the economies, which are exposed to structural reforms. In addition to that, intense competition both among domestic and foreign banks, rapid speed of innovations and introduction of new financial instruments, changing consumer’s demands and desire for product augmentation have changed the way a bank conducts business and services its customers. Larger the degree of competition, it is perceived that the firms would become more efficient. However, when the structure of an industry is product of the government regulations, the degree of competition is impaired markedly implying that the efficiency suffers negatively. Banking industry acts as life-blood of modern trade and commerce acting as a bridge to provide a major source of financial intermediation. Thus, appraisal of its efficiency is vital in context of an efficient and competitive financial system. Study of x-efficiency is believed to be important in particular as Berger, et al. (1993) found that x-inefficiencies account for around 20 percent or more of banking costs. Similarly, recent drive among banks towards downsizing, rightsizing and rationalisation of banking costs also implicates for the assessment of x-efficiency analysis of banks. It becomes vital in Pakistani context as there appears to be no study in literature on efficiency or x-efficiency analysis of banks in Pakistan. “A great deal more work is needed on x-efficiency research in banking. Managerial efficiency, the concept of x-efficiency, appears to be a much more important strategic and policy consideration” [Molyneux, et al. (1960), p. 273]. Given
Uncoupling of liquid and solid retention times in anaerobic digestion of catering wastes
No full textSource-separated food wastes collected from a university campus catering facility were processed in bench-scale anaerobic digesters. The feedstock contained a varied mix of fruits, vegetables, meats and fried foods. Two modes of digestion were compared. The first was hydraulic flush (HF) mode, in which liquids were flushed through the reactor on a retention time of 25 days while solids were maintained on an extended retention time of over 150 days. The converse was a solids wastage (SW) mode, in which liquid retention time was over 150 days, and solids were wasted to maintain a retention time of 25 days. SW reactors exhibited methanogenic failure after approximately 45 days. HF reactors, in contrast, maintained stable digestion for a period of 100 days, and were robust enough to recover from a thermal shock applied over a three-day period in which the temperature was increased from 35°C to 50°C between days 105–108 of the experiment. Stable operation was regained by day 139 and continued until the end of the run on day 15
Biohydrogen production from food waste in batch and semi-continuous conditions: evaluation of a two-phase approach with digestate recirculation for pH control
No full textThe research investigated the production of Biohythane in a two-phase anaerobic digestion process treating food waste as substrate. Preliminary batch assays were carried out at initial organic loadings of 15, 20, 25 and 30 kg TVS m?3, in stirred 1.5-l reactors at 55 °C. The results showed all hydrogen was produced within the first 24 h after feeding and the highest load tested gave the maximum hydrogen production (0.047 m3 H2 kg?1VS, H2 30%). Similar loadings were then tested in a two-phase system. Hydraulic retention times of 3 and 12 days were applied to the first and second reactor respectively. In order to keep the pH at ?5.5, either supernatant or whole digestate from the methanogenic reactor was recirculated to the first phase. Results showed that hydrogen was produced (0.117 Nm3 kg?1 VS, 47.7%) when recirculating whole digestate with an organic loading rate of 20 kg TVS m?3 day?1
Letter from Varian Banks to A.H. George, June 1, 1931
No full textLetter from Varian Banks to A.H. George concerning a loan. Varian Banks was the Assistant Treasurer of the National Board of Missions. See Letter from Frank Montgomery to A.H. George.Raynolds Loan #42
Correspondence between Sir Joseph Banks and C. Pancoucke concerning the paper used for the publication of Cook's 2nd and 3rd voyages. 1778 to September 1783.
No full textComprises 8 letters exchanged between Banks and Pancoucke, a Paris bookseller, concerning the cost, quality and procurement of the paper for the publication of Cook's 2nd and 3rd voyages. Some of the letters have enclosures containing information obtained from third parties. The bulk of the correspondence is dated between August 1782 and September 1783. However one document, entitled "Account for paper for printing translation of Cook's 2nd Voyage" is dated Paris 1778 and one enclosure, a letter from Pancoucke to Elmsley, is dated 10 September 1781
Assessment of Community Banks in Nigeria
No full textThis study on community banks in Nigeria was undertaken in June 2004 by the FAO Investment Centre, with financial support from the Canadian International Development Agency (CIDA), the Department for International Development (DFID), the International Fund for Agricultural Development (IFAD), the Ford Foundation (FF), the United Nations Development Programme (UNDP) and the World Bank (WB), and in collaboration with the Central Bank of Nigeria (CBN). The objective of the study was to assess the past and present performance of community banks, in particular rural-based banks, and to propose a first framework for their support. --
Management efficiency in minority- and women-owned banks
No full textIn this article, we conduct an analysis of the operating performance of minority- and women-owned banks from the perspective of production efficiency.Minority-owned banks
Cost and profit efficiency of banks in Haiti: do domestic banks perform better than foreign banks?
No full textI 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 efficient than foreign banks, in Haiti. The paper reveals also that, although treasury bills constitute an alternative source of profit for banks in Haiti, a growth of interest rate on treasury bills increases profit efficiency in current period whereas it decreases profit efficiency one period after this growth. The main implication of this paper is that foreign banks are not always more efficient than domestic banks in developing countries, and even in a country with low income level.Cost Efficiency; Profit Efficiency; Foreign Banks; Domestic Banks
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