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Table 3 Estimated progress

From: Impact of learning through credit and value creation on the efficiency of Japanese commercial banks

  (1)
EVA
(2)
FISIM (GO)
(3)
Credit (tloans)
(4)
Secinv
(5)
TI
Panel A: Full Sample   
\({\varnothing }_{it-1}\) 0.1033** − 0.4050*** − 0.3910*** − 0.6314*** − 0.3841***
  (0.0491) (0.0609) (0.0357) (0.0357) (0.0349)
\(Hypothesis\) Reject Do not reject Do not reject Do not reject Do not reject
Estimated progress ratios     
\({\delta }_{t}\) 1.074 0.755 0.763 0.646 0.766
\({\delta }_{t}\)(%) 107.42 75.50 76.26 64.55 76.63
100-\({\delta }_{t}\)(%) − 7.42 24.50 23.74 35.45 23.37
Cost implication Inefficient Efficient Efficient Efficient Efficient
Panel B: City Banks   
\({\varnothing }_{it-1}\) 0.3070** − 0.4488* − 0.0098 − 0.3748*** − 0.0975**
  (0.0674) (0.1648) (0.0328) (0.0528) (0.0253)
\(Hypothesis\) Reject Do not reject Reject Do not reject Do not reject
Estimated progress ratios     
\({\delta }_{t}\) 1.2371 0.733 0.993 0.771 1.070
\({\delta }_{t}\)(%) 123.71 73.27 100.0 77.12 106.99
100-\({\delta }_{t}\)(%) − 23.71 26.73 0.00 22.88 − 6.99
Cost implication Inefficient Efficient Inefficient Efficient Efficient
Panel A: Regional Bank I   
\({\varnothing }_{it-1}\) 0.1171** − 0.4278*** − 0.4435*** − 0.5837*** − 0.3957***
  (0.0505) (0.1825) (0.0408) (0.0473) (0.0400)
\(Hypothesis\) Reject Do not reject Do not reject Do not reject Do not reject
Estimated progress ratios     
\({\delta }_{t}\) 1.085 0.7434 0.735 0.667 0.760
\({\delta }_{t}\)(%) 108.46 74.34 73.53 66.73 76.01
100-\({\delta }_{t}\)(%) − 8.46 25.66 26.47 33.27 23.99
Cost implication Inefficient Efficient Efficient Efficient Efficient
Panel A: Regional Bank II   
\({\varnothing }_{it-1}\) 0.0798 − 0.2411*** − 0.4115*** − 0.7257*** − 0.4315***
  (0.0717) (0.0426) (0.0506) (0.0279) (0.0511)
\(Hypothesis\) Reject Do not reject Do not reject Do not reject Do not reject
Estimated progress ratios     
\({\delta }_{t}\) 1.057 0.846 0.752 0.605 0.7415
\({\delta }_{t}\)(%) 105.69 84.61 75.18 60.47 74.15
100-\({\delta }_{t}\)(%) − 5.69 15.39 24.82 39.53 25.85
Cost implication Inefficient Efficient Efficient Efficient Efficient
  1. Driscoll–Kraay standard errors in parenthesis.
  2. *** p < 0.01, ** p < 0.05, * p < 0.1
  3. \(\text{EVA}\,\sim\, \text{economic value added,}\)
  4. FISIM(GO)\(\sim \mathrm{Financial}\,\mathrm{Intermediation}\,\mathrm{Services}\,\mathrm{Indirectly}\,\mathrm{Measured}\,(\mathrm{Gross}\,\mathrm{Output})\)
  5. \(\text{FBI}\,\sim \text{fee based income},\)
  6. \(\text{tloans}\sim \text{total loans},\)
  7. \(\text{TI}\,\sim \text{Total Investment}\)
  8. \({\varnothing }_{it-1}\sim \text{learning elasticity}\)