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Cost Economies and Efficiency in EU Banking Systems

In: Strategic Challenges in European Banking

Author

Listed:
  • Yener Altunbaş
  • Edward P M Gardener
  • Philip Molyneux

Abstract

This chapter examines the cost efficiency characteristics of EU banking systems between 1987 and 1994. Overall, the findings on scale economies and cost subadditivity indicate that the most noticeable changes occurred in the French, German, Italian and Spanish banking markets in the years running up to 1992 internal market integration. This suggests that industry restructuring and economic conditions prior to the implementation of the single market had a greater impact on the cost/output characteristics of these markets than the post-internal markets effects.

Suggested Citation

  • Yener Altunbaş & Edward P M Gardener & Philip Molyneux, 2000. "Cost Economies and Efficiency in EU Banking Systems," Palgrave Macmillan Books, in: Edward P M Gardener & Joe Falzon (ed.), Strategic Challenges in European Banking, chapter 2, pages 8-40, Palgrave Macmillan.
    • Handle: RePEc:pal:palchp:978-0-230-37736-3_2
    DOI: 10.1057/9780230377363_2
    as

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