The Luenberger indicator and productivity growth: A note on the European savings banks sector

Jonathan Williams (1) , Nicolas Peypoch (2) , Carlos Pestana Barros (3)

1 Business School
2 GEREM - Groupe d 'Etudes et de Recherche en Economie et Management
3 Instituto Superior de Economia e Gestão

We employ the Luenberger productivity indicator to estimate productivity growth and its decomposition into technical change and efficiency change components for savings banks sectors in ten EU countries between 1996 and 2003. The Luenberger indicator requires less restrictive assumptions than standard non-parametric productivity indexes, and it allows the assumption of profit maximisation to be made for sample firms. We estimate average productivity growth in the savings banks sector to be 2.78 percent per annum and driven almost entirely by technical change. Whilst the general results confirm earlier findings, this study is one of the earliest to identify cross-border differences in productivity growth in the savings banks sector.

Mots clés: Social Sciences & Humanities

Jonathan Williams, Nicolas Peypoch, Carlos Pestana Barros. The Luenberger indicator and productivity growth: A note on the European savings banks sector. Applied Economics, 2009, 43 (6), pp.747. ⟨10.1080/00036840802599859⟩. ⟨hal-00582205⟩