Ownership Structure and Building Society Efficiency
AbstractThis paper investigates the effect of ownership structure on the cost efficiency of Australian building societies using the stochastic econometric frontier approach. Contrary to the expense preference hypothesis, mutually owned societies we found to be, on average, more cost efficient than those under stock ownership. Moreover, mutual and stoc-owned societies have significantly different cost functions or production technologies. The results are consistent with U.S. results of Mester (1993).
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Bibliographic InfoPaper provided by Finance Discipline Group, UTS Business School, University of Technology, Sydney in its series Working Paper Series with number 78.
Date of creation: 01 Oct 1997
Date of revision:
Publication status: Published as: Hutcheson, T. and Sharpe, I., 1998, "Ownership Structure and Building Society Efficiency", Australian Journal of Management, 23(2), 151-168.
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cost efficiency; ownership diffusion;
Other versions of this item:
- Tiffany Hutcheson & Ian G. Sharpe, 1998. "Ownership Structure and Building Society Efficiency," Australian Journal of Management, Australian School of Business, vol. 23(2), pages 151-168, December.
- G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages
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