A meta-regression analysis on bank efficiency

What is it about?

One learns two main lessons from studying the great quantity of banking efficiency literature. These lessons regard the heterogeneity in results and the absence of a comprehensive review aimed at understanding the reasons for this variability. We perform a Meta-Regression-Analysis (MRA) by examining 1661 efficiency scores retrieved from 120 papers published over the period 2000–2014. The meta-regression is estimated by using the Random Effects Multilevel Model (REML) because it controls for within- and between-study heterogeneity. We find strong evidence of this heterogeneity when we control for type of method, variables approach, quality of primary studies, sample size and type of efficiency estimated in the collected primary papers.

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