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Banking Efficiency And European Integration. Implications Of The Banking Reform In Romania

Author

Listed:
  • Jose L. Gallizo
  • Jordi Moreno
  • Ioana Iuliana Pop (Grigorescu)

Abstract

The aim of this study is to analyze the influence that the European integration process has had over the banking efficiency levels in those countries which have recently experienced more intensely the European integration process. For this purpose we have analyzed, using stochastic frontier models (SFA), applied to panel data, bank efficiency levels of a sample of 240 banks from 12 countries during the period 2000 to 2008. The results sustain the hypothesis that the European integration process has significantly improved the efficiency levels in these countries. However, the improvements haven't appeared simply by the accession to the EU, but have appeared during the process. In order to illustrate the results, we have analyzed the banking system in Romania in the context of the European integration, a country which because of the delay in the initiation of the reforms, despite belonging to the EU, it hasn't still recorded the essential improvements in banking efficiency associated to this process that the other new members have already experienced.

Suggested Citation

  • Jose L. Gallizo & Jordi Moreno & Ioana Iuliana Pop (Grigorescu), 2011. "Banking Efficiency And European Integration. Implications Of The Banking Reform In Romania," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 2(13), pages 1-25.
    • Handle: RePEc:alu:journl:v:2:y:2011:i:13:p:25
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    References listed on IDEAS

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    Cited by:

    1. Ijaz Ur Rehman & Muhammad Shahbaz & Phouphet Kyophilavong, 2016. "Do Technological Development and Financial Development Promote Economic Growth: Fresh Evidence from Romania," International Journal of Economics and Empirical Research (IJEER), The Economics and Social Development Organization (TESDO), vol. 4(2), pages 60-76, February.
    2. Adela Socol & Adina Elena Dănuleţiu, 2013. "Analysis Of The Romanian Banks' Performance Through Roa, Roe And Non-Performing Loans Models," Annales Universitatis Apulensis Series Oeconomica, Faculty of Sciences, "1 Decembrie 1918" University, Alba Iulia, vol. 2(15), pages 1-24.

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    More about this item

    Keywords

    banking efficiency; European integration; stochastic models; banking reform.;
    All these keywords.

    JEL classification:

    • C11 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Bayesian Analysis: General
    • C73 - Mathematical and Quantitative Methods - - Game Theory and Bargaining Theory - - - Stochastic and Dynamic Games; Evolutionary Games
    • F15 - International Economics - - Trade - - - Economic Integration
    • F36 - International Economics - - International Finance - - - Financial Aspects of Economic Integration
    • G14 - Financial Economics - - General Financial Markets - - - Information and Market Efficiency; Event Studies; Insider Trading
    • G21 - Financial Economics - - Financial Institutions and Services - - - Banks; Other Depository Institutions; Micro Finance Institutions; Mortgages

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