Testing the relationship between competition and efficiency in banking: A panel data analysis |
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| Authors: | Barbara Casu Claudia Girardone |
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| Affiliation: | aCass Business School, City University, London, United Kingdom;bEssex Business School, University of Essex, United Kingdom |
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| Abstract: | The relationship between competition and efficiency in the banking sectors of five EU countries is investigated using Granger-type causality test estimations. We find positive causation between market power and efficiency, whereas the causality running from efficiency to competition is weak. |
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| Keywords: | Competition Efficiency Granger causality Banking |
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