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Economies of Scale and Scope and Inefficiencies in Swiss Banking

  • George Sheldon
  • Urs Haegler
Part of the Studies in Contemporary Economics book series (CONTEMPORARY)

Abstract

Signs of change in Swiss banking have been mounting in recent years. 1990 saw the abolishment of the fee-fixing agreements covering securities dealing, which had stifled competition in the domestic market for the past half-century. In October 1991 the Spar- und Leihkasse Thun collapsed under the strain of mortgage loans gone sour in the wake of rising interest rates, shocking those accustomed to thinking that Swiss banks never fail. And in 1992 Moody’s downgraded the debt of Crédit Suisse and the Swiss Bank Corporation. The failure of the Spar- und Leihkasse Thun was especially unsettling. Not only the common acronym but also the similar cause of the collapse conjured up thoughts of the S&Ls in the US.

Keywords

Data Envelopment Analysis Efficiency Score Cost Efficiency Factor Price Large Bank 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Copyright information

© Physica-Verlag Heidelberg 1993

Authors and Affiliations

  • George Sheldon
  • Urs Haegler

There are no affiliations available

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