Productive and allocative inefficiencies in UK building societies

a comparison of non-parametric and stochastic frontier techniques
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Loughborough University of Technology, Department of Economics , Loughborough
StatementLeigh Drake and Thomas G. Weyman-Jones.
SeriesEconomic research paper / Loughborough University of Technology. Department of Economics -- no.93/2, Economic research paper (Loughborough University of Technology. Department of Economics) -- no.93/2.
ContributionsWeyman-Jones, Thomas G., 1947-
ID Numbers
Open LibraryOL13969900M

A nonparametric frontier approach is utilized to calculate the efficiency of U.K. building societies. This paper extends previous work in the area in two main ways.

First, the analysis focuses upon allocative and technical efficiency rather than simply decomposing the latter into its constituent components, pure technical and pure scale efficiency, as a number of previous papers have done.

Productive and allocative inefficiencies in UK building societies By L. Drake, T.G Weyman-Jones and Loughborough Univ. of Technology (United Kingdom). Dept. of Economics. L Drake, T.G Weyman-JonesProductive and allocative inefficiencies in UK building societies: A comparison of non-parametric and stochastic frontier techniques The Manchester School, 64 (), pp.

Cited by:   L. Drake, T.G. Weyman-JonesProductive and allocative inefficiencies in UK building societies: a comparison of nonparametric and stochastic frontier techniques The Manchester School, 64 (), pp.

Cited by: Productive and allocative inefficiencies in UK building societies: A comparison of non-parametric and stochastic frontier techniques" (). Resolving the scale efficient puzzle in banking".

Productive and Allocative Inefficiencies in U.K. Building Societies: A Comparison of Non-parametric March The Manchester school of economic and social studies Leigh Drake.

Key Factors That Enabled This to Rank as One of the Top 10 UK Building Societies. Primary reasons Coventry was included on this list of the top building societies in the UK are as follows.

Savings. The Coventry leads the way in terms of providing some of the best UK building society savings options. Drake, L and Weyman-Jones, T.G.

() ‘Productive and Allocative Inefficiencies in UK Building Societies: A Comparison of Non-parametric and Stochastic Frontier Techniques’, The Manchester Sch 22– Google Scholar.

Drake, Leigh & Weyman-Jones, Thomas G, "Productive and Allocative Inefficiencies in U.K. Building Societies: A Comparison of Non-parametric and Stochastic Frontier Techniques," The Manchester School of Economic & Social Studies, University of Manchester, vol.

64(1), pagesMarch. DeYoung, Robert,   Drake and Weyman- Jones () Productive and allocative inefficiencies in U.K. building societies: A comparison of non- parametric and stochastic frontier techniques.

48 U.K building societies, cross sectional data – Drake, L. and Weyman-Jones, T. (), ‘Productive and Allocative Inefficiencies in UK Building Societies: A Comparison of Non-Parametric and Stochastic Frontier Techniques’, The Manchester School of Economic & Social Studies, 64(1): 22– CrossRef Google Scholar.

Below is a list of current UK building societies: Barnsley Building Society (A trading name of Yorkshire Building Society) Permanent Building, Regent Street, Barnsley, South Yorkshire, S70 2EH Tel Fax Bath Building Society. 15 Queen Square, Bath, Avon, BA1 2HN. The building society has over one million members.

The first debit card to be released by a building society was achieved by the nationwide building society, and it was also the first building society to launch the UK's first internet banking service ().

Yorkshire Building Society - £m. The second largest building society in the world. building societies are well-placed to play a central role in the f uture of UK financial services. The Government has therefore decided to set out its aspirations for the building societies sector, including the key role it sees for the sector as part of the future for UK financial services.

This study applies data envelopment analysis (DEA) to accounting data for 57 UK building societies. DEA allows productive efficiency to be measured without specifying a functional form and. Cost efficiency and UK building societies. An econometric Many approaches have been used to estimate inefficiencies in the UK building society sector.

These include a multiple regression model (Gough, ), the translog observed very little allocative or. For example, a firm that employs brain surgeons to dig ditches might still be X-inefficient, even though reallocating the brain surgeons to curing the sick would be more efficient for society overall.

In this sense, X-inefficiency focuses on productive efficiency and minimising costs rather than allocative efficiency and maximising welfare. For.

Description Productive and allocative inefficiencies in UK building societies FB2

United Kingdom (UK); 56 percent are in credit unions, 30 percent in building societies, and the remainder are savings and loans (S&L); while 67 percent employ nonparametric techniques. Without exception, these are inter-firm studies relying on cross-sectional or panel 3.

Productive and allocative inefficiencies in UK building societies: A comparison of non-parametric and stochastic frontier techniques L Drake, TG Weyman-Jones The Manchester School of Economic & Social Studies 64 (1),Productive inefficiency implies that the society isinside its production possibilities boundary.

If factor combi-nations are altered, more of all goods can be produced. Monopolistic market structures, as well as taxes, tariffs, and subsidies, are some important sources of the distortions that lead to both allocative and productive inefficiencies. • Main UK commercial banks and Building Societies • Telecommunications Industry - for example suppliers of mobile phone networks Explicit mention should be made of productive, allocative and dynamic efficiency.

• Higher costs (X -inefficiencies) arising from lack of. Drake, L. and Weyman-Jones, T. () Productive and allocative inefficiencies in UK building societies: a comparison of non-parametric and stochastic frontier techniques, Manchester School, 64, 22– Drake, L.

and Howcroft, J.

Details Productive and allocative inefficiencies in UK building societies PDF

() An insight into the size efficiency of a UK bank branch network, Managerial Finance, 28, 24– approach to estimate scale and technical and allocative inefficiencies.

They used data of 46 UK building societies and employed an intermediation approach and they found considerable variability in inefficiencies across building societies in the sample, with allocative inefficiency dominating the technical and scale inefficiencies.

Market failure refers to the inefficient distribution of goods and services in the free market. In a typical free market, the prices of goods and services are determined by the forces of supply and demand, and any changes eventually lead to a price equilibrium.

If perfect competition always leads to allocative efficiency, does it also lead to increased social welfare.

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If so, why does the government intervene in the markets in the first place and why does it have monopolies of its own. By Anupam Manur (@anupammanur) Perfect competition, by definition, will produce the truest price of goods [ ]. However, by the s and 60s, it was starting to lose its competitive advantage as Japanese car firms innovated and improved quality of car-building.

At the start of the internet, Yahoo was the dominant search engine, but it quickly lost its position to a new entrant – Google. Drake, L. – Weyman-Jones, T. (): Productive and Allocative Inefficiencies in UK Building Societies: A Comparison of Non-Parametric and Stochastic Frontiers Techniques.

Manchester School, 64 (1): – B. both productive and allocative efficiency are achieved. allocative efficiency is achieved, but productive efficiency is not. it is impossible to produce a net benefit for society by changing the combination of goods and services produced.

The economic inefficiencies of monopolistic competition may be offset by the fact that. In Table 2, there are general means of technical, scale, and allocative efficiencies of the selected hospitals. Table 3 and and4 4 show the situation of technological structure and the scores of technical, scale, allocative, and cost efficiencies about all selected hospitals in both public and private hospitals separately.

It is particularly. The price mechanism plays three important functions in a market. 1/ Signalling function. Prices perform a signalling function – they adjust to demonstrate where resources are required, and where they are not; Prices rise and fall to reflect scarcities and surpluses; If prices are rising because of high demand from consumers, this is a signal to suppliers to expand production to meet the.

The Modular Building Institute Glenwood Station Lane, Suite Charlottesville, VA USA with Excerpts from: “Advancing the Competitiveness and Effi ciency of the U.S. Construction Industry,” a report issued by the National Research Council Improving Construction Effi ciency & Productivity with Modular Construction.This framework builds on the traditional understanding of waste as a measure of inefficiency.

Conceptually, economists distinguish between two types of inefficiencies: productive inefficiencies, which create waste in the form of excess costs in producing a given output, and allocative inefficiencies, which produce the wrong output.Building Societies' Assets Factsheet August Rank by Group Assets Name of Society Financial Year Ended Society Assets £m Group Assets £m (see note *) 1 Nationwide 04 April, 2 Coventry 31 December 48, 49, 3 Yorkshire 31 December 52, 44, 4 Skipton 31 December 23, 25,