Stochastic Frontier Model for Measuring Investment Efficiency of Banks

Measuring Technical Efficiency in the Stochastic Varying Coefficient Frontier Model

Due to the assumption that the best practice methods refer to each input separately instead of the whole set of inputs used by a firm, the benchmark technology as defined in the stochastic varying coefficient frontier model may be infeasible and theoretically improper whenever the maximum response coefficients are not coming from the same production unit. To overcome this problem we suggest an ...

Comparative Analysis of Stochastic Frontier Partially non-parametric and Stochastic Frontier Parametric Methods Case Study: Measuring Cost Efficiency in Wheat Production in Iran

Stochastic Frontier Model Approach for Measuring Stock Market Efficiency with Different Distributions

The stock market is considered essential for economic growth and expected to contribute to improved productivity. An efficient pricing mechanism of the stock market can be a driving force for channeling savings into profitable investments and thus facilitating optimal allocation of capital. This study investigated the technical efficiency of selected groups of companies of Bangladesh Stock Mark...

A Cobb Douglas Stochastic Frontier Model on Measuring Domestic Bank Efficiency in Malaysia

Banking system plays an important role in the economic development of any country. Domestic banks, which are the main components of the banking system, have to be efficient; otherwise, they may create obstacle in the process of development in any economy. This study examines the technical efficiency of the Malaysian domestic banks listed in the Kuala Lumpur Stock Exchange (KLSE) market over the...

Properties of Technical Efficiency Estimators in the Stochastic Frontier Model

The estimation of frontier cost and production functions has been given impetus by the introduction of the stochastic frontier.’ This model is distinguished by a disturbance term composed of two parts a one-sided component, non-positive for production functions and non-negative for cost functions, representing the degree of inefficiency, and a symmetric component representing the usual statisti...