Research On The Measurement And Influencing Factors Of China's Trust Companies' Efficiency And Productivity

Since the reform and opening up,China's trust industry has developed in twists and turns,but with the promulgation of "one law and two regulations",the trust industry is gradually on the right track.By the end of 2017,trust assets exceeded 26 trillion yuan,only next to bank assets among the four major financial industries.However Channel assets account for a large proportion in China's trust assets,its level of business reward is low,its input-output ratio is not high and the overall competitiveness is not enough.Therefore,to evaluate the efficiency and productivity of China's trust companies and to study the influencing factors to explore the key to promote efficiency and productivity,which are of great vital realistic significance to improve the competitiveness of the industry,meet the current challenges and solve the current predicament.In this paper,panel data of 68 trust companies in China from 2010 to 2017 were selected.DEA(Data Envelopment Analysis)model based on slack measure – SBM(Slack Based Measure)model and the Malmquist productivity index method were used to measure the technical efficiency and total factor productivity of trust companies in China.The sbm-undesirable model and the Malmquist-Luenberger productivity index method are adopted to respectively estimate the technical efficiency and total factor productivity of trust companies with the consideration of non-expected output,and then do a comparative analysis of the models results without considering undesired outputs and considering undesired outputs.At last the systematic GMM estimation model based on dynamic panel data is used to empirically analyze the factors affecting the technical efficiency and total factor productivity of trust companies.Through the research on the technical efficiency and total factor productivity of trust companies,it is found that ignoring the influence of non-performing assets may overestimate the technical efficiency and total factor productivity of trust companies;The improvement of total factor productivity in the trust industry mainly comes from the contribution of technological progress,while the contribution of technical efficiency change is small and reduces the level of total factor productivity,which indicating that the resources of trust companies are not fully utilized and there is redundancy in it;The technical efficiency of different trust companies is different and the development polarization is obvious;The influence of regional economic development speed and profitability on technical efficiency and total factor productivity is positive and significant,while the influence of company size on the efficiency of trust companies is negative and significant to a large extent.Based on the above research,several strategic measures to improve the efficiency of trust companies in China are proposed.