IDEAS home Printed from https://ideas.repec.org/a/bla/finrev/v23y1988i4p499-512.html
   My bibliography  Save this article

Multiproduct Cost Functions and Scale Economies in Banking

Author

Listed:
  • Cebenoyan, A Sinan

Abstract

This study provides new and efficient estimates of scale economies in banking. Recent criticism of the incorrect specification of homogenei ty restrictions on the translog cost functions is addressed, and correct estimations are provided. The results indicate that such misspecifications do affect measures of scale economies. The study covers 1980 to 1983 for unit and branch banks. The estimation is further enhanced by introducing factor share equations invoking Sheph ard's lemma and using an iterative Zellner procedure. The results fai l to indicate scale economies for the overall sample. Some evidence of small degrees of scale economies is observed in parts of the sample. Copyright 1988 by MIT Press.

Suggested Citation

  • Cebenoyan, A Sinan, 1988. "Multiproduct Cost Functions and Scale Economies in Banking," The Financial Review, Eastern Finance Association, vol. 23(4), pages 499-512, November.
    • Handle: RePEc:bla:finrev:v:23:y:1988:i:4:p:499-512
    as

    Download full text from publisher

    To our knowledge, this item is not available for download. To find whether it is available, there are three options:
    1. Check below whether another version of this item is available online.
    2. Check on the provider's web page whether it is in fact available.
    3. Perform a search for a similarly titled item that would be available.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Ors, Evren, 2004. "Postmortem on the Federal Reserve's Functional Cost Analysis Program: how useful was the FCA?," Review of Financial Economics, Elsevier, vol. 13(1-2), pages 121-148.
    2. Douglas D. Evanoff & Philip R. Israilevich, 1991. "Productive efficiency in banking," Economic Perspectives, Federal Reserve Bank of Chicago, vol. 15(Jul), pages 11-32.
    3. Evren Ors, 2004. "Postmortem on the Federal Reserve's Functional Cost Analysis Program: how useful was the FCA?," Review of Financial Economics, John Wiley & Sons, vol. 13(1-2), pages 121-148.
    4. Rezvanian, Rasoul & Mahdian, Seyed & Elyasiani, Elyas, 1996. "Economics of scale and scope in small depository institutions: Evidence from U.S. cooperative banks," The Quarterly Review of Economics and Finance, Elsevier, vol. 36(1), pages 39-54.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:finrev:v:23:y:1988:i:4:p:499-512. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Wiley Content Delivery (email available below). General contact details of provider: https://edirc.repec.org/data/efaaaea.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.