A Research On The Effect Of The Monetary Policy To X-Efficiency Of China's Commercial Bank

In order to contral the inflation of economy,since year 2007,China changed the prudent monetary policy which had been used for 10 years to tight monetary policy.But since middle of year 2008,the economic crisis became a more and more seriously problem.So once again,PBC begin to use loose monetary policy.What we care about in this paper for the policy change is that, as the anteties with both functions for monetary policy executing and to make profit as more as possible,whether commercial banks of china be affected by monetary policy.We choose X-efficient as the Variable to describe the production condition of commercial bank in china,in this we can analysis the effection of monetary policy.In order to find out more usefull and interesting result,the analysis of this paper is divided to three steps:firsly,theoretical anlysis:based on model developed by Farrell,we find theoraltical envidence that monetary policy truly affect X-efficient of commercial banks in china.Secondly,we use empirical model to prove the conclusion in theoretical analysis.Lastly,this paper takes Minsheng Bank as example,based on VAR model to analysis the effection from monetary policy to X-efficient is in what degree.There are mainly four conclusion of this paper:firstly,theoretical analysis proved that, monetary policy indeed has effection on china's comercial X-efficient.secondly,empirical analysis reinforcement the rusults we find out above,what was more,we find that tight monetary policy can improve X-efficient.thirdly,the way monetary policy affects X-efficient is not through the amount of credit or loan,but through profit of commercial banks.and lastly,for the analysis of Minsheng Bank we find that though monetary policy indeed has effect on X-efficient,the effections from different policy tools are different in extence.Inovations of this paper are those:firstly,we found both theorial and empirical evidence for the effections from monetary policy to China's commercial banks. Secondly,this paper firstly devides the research of X-efficiency into technological efficiency and allocation efficiency.Thirdly,time series data is firstly used to study commercial banks' efficiency.