Abstract:

In this paper, we examine the efficiency of banking sector by using Data Envelopment Analysis (DEA) and Stochastic Frontier Analysis (SSA) for the period 2005-2010 and compare the findings of these different methods. According to the findings, although we obtain different distribution of efficiency scores from the DEA and SFA analyses, in the case of different situations such as regulatory policy decisions and improvement of management performance, these two methods give same results and so the method choice has not more impact on the results obtained The findings are important for general economy as well as banks, creditors and investors.

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