NDLI: Efficiency, innovation and competition: evidence from Vietnam, China and India

Content Provider	Springer Nature Link
Author	Nguyen, Thanh Pham Thien Nghiem, Son Hong Roca, Eduardo Sharma, Parmendra
Copyright Year	2016
Abstract	Given a number of common features in both the economy and banking markets across Vietnam, China and India, this study investigates the comparative levels of efficiency, innovation and competition and then examines the effect of competition on innovation of banks in the three countries over the period 1995–2011. Applying for the first time a recently developed stochastic meta-frontier framework to the banking sector, this study finds that Indian banks are the most cost-efficient, followed by Chinese banks and Vietnamese banks. Indian banks are also more innovative in reducing the operating costs compared to Chinese and Vietnamese banks. Using the Lerner index, the banking markets of India and Vietnam are found to be more competitive than that of China. The relationship between competition and cost-reducing innovation follows an inverse U-shape curve, which is consistent with the literature. This study also finds that the optimal Lerner index to achieve the greatest innovation in reducing operating costs is 55 %. Based on the results of the Lerner index, this study recommends that to improve cost-reducing innovation, policy makers should promote bank competition in all the three countries, but to a greater extent in China than in Vietnam and India.
Starting Page	1235
Ending Page	1259
Page Count	25
File Format	PDF
ISSN	03777332
Journal	Empirical Economics
Volume Number	51
Issue Number	3
e-ISSN	14358921
Language	English
Publisher	Springer Berlin Heidelberg
Publisher Date	2016-01-23
Publisher Place	Berlin, Heidelberg
Access Restriction	One Nation One Subscription (ONOS)
Subject Keyword	Vietnam China India Competition Efficiency Innovation Meta-frontier SFA Econometrics Statistics for Business/Economics/Mathematical Finance/Insurance Economic Theory/Quantitative Economics/Mathematical Methods
Content Type	Text
Resource Type	Article
Subject	Statistics and Probability Social Sciences Economics and Econometrics

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
5	Website/Portal (Helpdesk)	Queries regarding NDLI and its services	support@ndl.gov.in
6	Contents and Copyright Issues	Queries related to content curation and copyright issues	content@ndl.gov.in
7	National Digital Library of India Club (NDLI Club)	Queries related to NDLI Club formation, support, user awareness program, seminar/symposium, collaboration, social media, promotion, and outreach	clubsupport@ndl.gov.in
8	Digital Preservation Centre (DPC)	Assistance with digitizing and archiving copyright-free printed books	dpc@ndl.gov.in
9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in

Liberalisation, competition and innovation in the postal sector

Markup and efficiency of Indian banks: an input distance function approach

Expected efficiency ranks from parametric stochastic frontier models

Competition and product innovation in dynamic oligopoly

Empirical evidence on the operational efficiency of National Oil Companies

Testing for competitive balance

Can school competition improve standards? The case of faith schools in England

Simulating an empirical paper by the rational economist

Export spillovers in Hungary

Efficiency, innovation and competition: evidence from Vietnam, China and India

Similar Documents

Liberalisation, competition and innovation in the postal sector

Markup and efficiency of Indian banks: an input distance function approach

Expected efficiency ranks from parametric stochastic frontier models

Competition and product innovation in dynamic oligopoly

Empirical evidence on the operational efficiency of National Oil Companies

Testing for competitive balance

Can school competition improve standards? The case of faith schools in England

Simulating an empirical paper by the rational economist

Export spillovers in Hungary

Efficiency, innovation and competition: evidence from Vietnam, China and India