The Empirical Research On The Effects Of Ownership Structure On The Technical Efficiency Of Chinese Commercial Banks

The research on relationship between ownership structure and Chinese commercial banks' technical efficiency is one of the most important topics in the theory of finance, although there is still no unified conclusion. At the beginning of this century, Chinese commercial banks started the pace of Shareholding System Reformation, domestic and foreign researchers have paid more and more attention to estimate the effect of ownership structure on technical efficiency. In this paper, we choose Chinese major commercial banks as sample to examine the relationship between them, and intend through in-depth study to draw some conclusions.Firstly, we review the status of related research, list the means of this paper; then, define the technical efficiency and ownership structure, analyze the present conditions and characteristics of ownership structure of Chinese commercial banks, propose the impact and transmission mechanism between ownership structure and technical efficiency; next, select Chinese 14 commercial banks in 1998-2007 to measure technical efficiency by using DEA method; finally construct Tobit regression model to estimate the impact of ownership structure on the technical efficiency. The empirical results show that: State-owned commercial banks are less technical efficiency than that of Joint-stock banks, while the difference among banks becomes more and more insignificant. The improvement of technical efficiency supports the proceeding Shareholding System Reformation significantly elevates the technical efficiency of Chinese commercial banks.The main innovations in this dissertation are:1. We analyze the functional mechanism between ownership structure and technical efficiency, investigate the effect of the property and concentration of ownership on the technical efficiency, and propose the transmission mechanism between them.2. We build DEA model to measure the technical efficiency of commercial banks, construct Tobit regression models to empirically examine the effect of ownership structure on technical efficiency, select the input and output as variables in DEA model and macroeconomic policies, market structure and assets quality as the controllable variables of technical efficiency, respectively. We conclude the results and put forward related policy suggestions.