Research On The Efficiency Of China's Commercial Banks Considering The Non-expected Output

In recent years,with the improvement of the competitiveness of China's commercial banks,the diversified,market-oriented,commercial banking system gradually formed.China's commercial banks have made great progress,but after the international financial crisis,the international financial market has undergone profound changes,which not only promoted the accelerated transformation of the international financial landscape,but also put forward new requirements on the development of commercial banks.In this context,the research on the efficiency of commercial banks can make us not only understand the current situation of commercial banks in China,but also find out the advantages and disadvantages of China's commercial banks in operation through the comparative study of efficiency.Based on the above analysis,the paper will put forward targeted recommendations,which is important to improve the efficiency of commercial banks.Based on the data of 22 commercial banks in China from 2008 to 2015,this paper uses the Russell Multi-activity Network DEA model to divide the efficiency of commercial banks into the stage of absorbing deposits and issuing loans on the basis of considering the non-expected output,and makes an analysis on the inefficiency of China's commercial banks at different stages.The results show that 22 banks are generally inefficient,and more than half of the banks are inefficient because of the high non-performing loan ratio.At the same time,this paper makes an empirical analysis on the factors that affect the efficiency of commercial banks.The results show that cost-to-income ratio,deposit-to-loan ratio,and asset ratio are significantly related to the efficiency of banks.