Farhad Khodadad Kashi; Mohamad Oshani; Mohamad Sadegh Ghazizadeh; Kioumars Heydari
Abstract
The aim of this paper is to provide a comparison between different methods of natural monopoly regulation for electricity distribution companies in Iran and introduce the best suitable one based on productivity, quality and incentive considerations. Here we have concluded that the price cap regulation ...
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The aim of this paper is to provide a comparison between different methods of natural monopoly regulation for electricity distribution companies in Iran and introduce the best suitable one based on productivity, quality and incentive considerations. Here we have concluded that the price cap regulation model is the most efficient method of regulation for the situation under consideration. Based on the literature, the target values of both productivity and quality has been calculated in different scenarios of this research. The sample consists of 39 electricity distribution companies in Iran during period 2006 to 2016. First, using the SFA and DEA methods to determine the efficiency score of each company, we have calculated the X-factor for every firm in a 5-year period. In addition, the X-factor was calculated based on Malmquist index and differential method. The results suggest that target X-factor is in the range of 1.7% to 3%. The results indicated that there is an opportunity to increase productivity of electricity distribution companies. To encourage the firms to improve their productivity, a higher target rate of productivity growth would be considered for low-efficiency firms and a lower target for high-efficiency ones. Service quality has been evaluated mainly by quantification and measurement of energy not supplied (ENS) and the waiting time for a new customer to be connected to the power grid and to be able to use electricity. And the target quality value was set for each company.
Seyed Mohammadreza Seyed Nourani; abass shakeri; amir khadem alizadeh; reza vafaee yeganeh
Abstract
Productivity is a behavioral trait that relies on relationship optimization and interaction between internal and external factors. Productivity derives its vitality from the fact that when it increases, total output can increase without increasing the factors involved in production. This study aimed ...
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Productivity is a behavioral trait that relies on relationship optimization and interaction between internal and external factors. Productivity derives its vitality from the fact that when it increases, total output can increase without increasing the factors involved in production. This study aimed to evaluate productivity (efficiency and effectiveness) of select banks in Islamic Republic of Iran’s Interest-Free Banking system. By using a numeric index method, indices of labor productivity, Intermediary inputs productivity, capital productivity and total factor productivity were measured in select commercial banks with and without considering effectiveness factor. Our findings suggest that average growth of labor productivity, capital and intermediate consumption in selected banks in the period under review was descending, the average productivity growth of deposits in banks in the study period was 0.2% and average total factor productivity growth without and with equivalent effectiveness indicators were 1.82 and -4.2% respectively.
Saeid Isazadeh; Zeinab Shaeri
Volume 12, Issue 45 , July 2012, , Pages 173-200
Abstract
This paper examines empirically the depth of financial development in the IRAN banking industry and it's comprision with MENA banking system during 1995 -2008 by applying Panel Data method. The study measures the cost efficiency of these banks using the stochastic frontier approach (SFA). The result ...
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This paper examines empirically the depth of financial development in the IRAN banking industry and it's comprision with MENA banking system during 1995 -2008 by applying Panel Data method. The study measures the cost efficiency of these banks using the stochastic frontier approach (SFA). The result shows that banks in MENA area, on average, could save 20 percent of their total costs if they were operating efficiently. We use a two- stage regression method to investigate the impact of depth of financial development on bank efficiency. The findings show that, the depth of financial development of the banking industry has increased the efficiency of banking system during the period of study.
Darush Farid; Mohammad Hassan Zare; Habib Zare; Alireza Rajabipour Meybodi
Volume 10, Issue 36 , April 2010, , Pages 309-331
Abstract
These days one of the important issues of the world is the measurement of efficiency of production per unit. Stock exchange organizations also play pivotal role in attaining investment and improvement of economic signals in different countries. Therefore, while considering this role and the numbers of ...
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These days one of the important issues of the world is the measurement of efficiency of production per unit. Stock exchange organizations also play pivotal role in attaining investment and improvement of economic signals in different countries. Therefore, while considering this role and the numbers of branches of stock exchanges in Iran, it is important to measure the efficiency of these branches and compare them with each other. In this study, we have used DEA technique, to assess the efficiency achieved by each branch and then we ranked them on the basis of the points collected by each branch. We have also, tried to define the conceptual system of assessment for efficiency of each branch and we have also collected the related data. Then on the basis of DEA technique we have assessed each branch for its efficiency. Finally, we used Team Expert Choice software to rank branches of stock exchanges accordingly.
Seyyed Shamseddin Hosseini; Mohammad Ebrahim Ain Alian; Amir Reza Soori
Volume 9, Issue 33 , July 2009, , Pages 125-151
Abstract
Post Bank as one of the financial institution has had successful experience in many countries. As a result, the Post Bank Company has been established in 1996 aiming of developing financial services especially in rural region. Now after passing a decade of Post Bank activities in the form of independent ...
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Post Bank as one of the financial institution has had successful experience in many countries. As a result, the Post Bank Company has been established in 1996 aiming of developing financial services especially in rural region. Now after passing a decade of Post Bank activities in the form of independent headquarters in provinces, assessing their activities is possible by the criterion such as efficiency which is the subject of this paper.
In this paper, efficiency and effecting factors on it has been determined for 28 independent headquarters of Iran’s Post Bank in duration of 1999-2005 form using Stochastic Frontier Functions (SFA) and Logarithmic - Linear of cost function. Result of this study by model (1) - assessing efficiency- shows that efficiency of Iran’s Post Bank is 60%. The provinces
of Tehran and Charmahal va Bakhtiyari have had minimum and maximum efficiency respectively. Also, headquarters of Post Bank in the less developed region like Charmahal va Bakhtiyari and Kohkiluye va Boyer Ahmad, comparing with more headquarters in the developed provinces like Tehran and Khorasan, had been more efficient.
Meanwhile based on the result of model (2)- assessing the Effecting factors on efficiency- efficiency of headquarters has inverse relationship with the size of Post Bank (total asset), number of Employee, number of branch, and time, has direct relationship with total income of Post Bank.
Hamid Abrishami; Mohssen Mehrara; Maryam Ajorloo
Volume 8, Issue 28 , April 2008, , Pages 173-197
Abstract
Banks have important roles in economy, such as mobilization of funds, intermediation, and utilization of fund and financial management. Even in developed economies, banks are on the center of financial and economic movements and they are the basis of monetary policies. In this research, we have investigated ...
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Banks have important roles in economy, such as mobilization of funds, intermediation, and utilization of fund and financial management. Even in developed economies, banks are on the center of financial and economic movements and they are the basis of monetary policies. In this research, we have investigated the cost-efficiency of banking systems (the case study of the Bank Mellat in the period 1991-2003). We have also estimated the cost-efficiency by using the parametric technique (econometrics) and Translog Stochastic Frontier Cost Function. The advantage of this method is that it divides inefficiency into two independent residuals including cost-inefficiency and stochastic factors. After estimating of the cost function and finding the inefficiency factor, we realize that 10 percent of variance of model's errors is attributed to inefficiency factors. On the other hand, our research show that the total cost to minimum cost ration of the Bank Mellat is 1.07. It means that during this period, the Bank Mellat had only 7 percent inefficiency and the trend of inefficiency was stable during the whole period.
Seyyed Shamseddin Hosseini; Amir Reza Soori
Volume 7, Issue 25 , July 2007, , Pages 127-155
Abstract
In this paper the efficiency of ten banks (Mellat, Tejarat, Refahe Kargaran, Saderat, Melli, Sepah, Tose Saderat ,Maskan ,Keshavarzi and Sanat va Madan) in Iran and the effective factors on their efficiency levels are estimated, using parametric statistical method, for 1994-2003 period. The estimation ...
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In this paper the efficiency of ten banks (Mellat, Tejarat, Refahe Kargaran, Saderat, Melli, Sepah, Tose Saderat ,Maskan ,Keshavarzi and Sanat va Madan) in Iran and the effective factors on their efficiency levels are estimated, using parametric statistical method, for 1994-2003 period. The estimation of efficiency is conducted by using Battese and Colli model (1992) - Model(1) - while for the estimation of the effective factors on efficiency, Battese and Colli model (1995)-Model (2)- is taken. Regarding the results obtained from the former model, the efficiency of the banks is estimated to be 87.76 percent. Also, for the case of the factors influential on the banks' efficiency, the results of the latter model showed that there is a positive relation between efficiency and sophistication of banks, the number of branches of the banks, and the time trend; meanwhile it has negative relation with the size of the banks.
