Study On Efficiency Of State-owned Banks And Joint-stock Banks

Bank is one of the most important sections in a nation's economy. A good banking system provides quick payment for society staff and gathers saving as much as possible for funding other sections. Namely, whether bank's operation efficiency is high or low has deeply effect on not only development of bank system but also operation of the whole macro economy. But there are too many problems existing in China, such as, low competitiveness, poor management, deficient fiancéinnovation, too many bad debts, high risk and so on. To solve these problems, this paper pays much attention to: what's the difference between state-owned banks and joint-stock banks, and why, further more, this paper also puts forward some available strategies.Basing on studying on bank's efficiency, this paper uses numeric and nonnumeric methods to study 15 banks'efficiency from 2000 to 2004. Firstly, it analyzes how domestic banks'operation efficiency is from the aspects of payoff, liquidity and security with single factor method, so as to give us a general pictures of Chinese commercial banks. And then this paper uses factor analysis method as single factor method's expansion to dram a conclusion of banks'operation efficiency. What's more, this paper also used DEA (Data Envelopment Analysis) method to give another integrated evaluation. What's the important is that this paper draws the same conclusion by two different methods. The operation efficiency of joint-stock banks is better than the one of the stated-owned banks.After evaluating 15 commercial banks'operation efficiency, this paper also pays attention to factors influencing efficiency. Because factor analysis does not emphasize on how factor affect the result, the paper finds out the important factors by calculating shadow prices. In despite of re differences between state-owned and joint-stock banks, there are some similarities between them. According to the status quo, this paper put forward the means to improve efficiency of the two kinds of banks, such as, completing competitive market, reforming the banks'institution and quicken finance innovation, and guaranteeing the security of bank system.