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Concentration and Efficiency of Indian Banking Sector:Determinants and Causal Relationship
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The deregulation in the Indian financial sector, particularly in banking sector is expected to contribute to dramatic changes in the banking sector. In light of these reforms and present environment, this study made an attempt to analyze the Indian banking sector from 1992 to 2011 by taking a sample of 51 commercial banks over the study period in three stages. In first stage, efficiency, banking structural and concentration shift has been measured, second stage tried to find out the determinants of banking efficiency and concentration (bank level & country level) by To bit regression and third stage tried to expose the cause and effect relationship between efficiency and concentration by using Granger-Causality test. Exposed results described that.
Keywords
Concentration, Efficiency, to Bit-rRegression, Granger-causality and Third Stage Analysis.
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