Table 4

Estimation results: cost and profit inefficiency

CoefficientCoefficient
Cost functionProfit function
Constanteβ00.703**(2.151)18.577* (60.426)
Ln(Y1)β10.047(0.474)0.257**(2.375)
Ln(Y2)β21.009*(8.612)−1.585*(−12.168)
Ln(Pk/PL)α10.185* (3.214)−0.388* (−6.015)
Ln(PF/PL)α20.267* (5.379)−0.259* (−5.489)
Ln(Y1)2β110.016* (4.027)0.001 (0.199)
Ln(Y2)2β220.049* (4.213)0.127*(9.261)
Ln(Pk/PL)2α110.005(1.254)0.029* (7.489)
Ln(PF/PL)2α22−0.021* (−9.080)0.02*(5.568)
Ln(Pk/PL)Ln(PF/PL)α12−0.023* (−3.770)0.069*(16.611)
Ln(Y1)Ln(Y2)β12−0.055*(−3.999)−0.042** (−2.528)
Ln(Pk/PL)Ln(Y1)λ110.034*(3.028)−0.001 (−0.065)
Ln(PF/PL)Ln(Y1)λ21−0.026** (−2.144)0.053* (4.221)
Ln(Pk/PL)Ln(Y2)λ12−0.051* (−4.065)0.005 (0.515)
Ln(PF/PL)Ln(Y2)λ220.05* (4.293)−0.059* (−4.178)
Ln(PF) −0.146*(−6.486)−0.059* (−2.948)
Explanatory variables
DIG-PAY −14.659*(−15.056)−3.815*(−2.748)
BUY-ONLINE 4.162*(4.574)−7.447* (−4.910)
PAY-BILLS −4.218* (−3.997)9.187* (6.665)
NUM-MOB-TRAN −0.323*(−16.901)−0.257*(−7.683)
CARD 15.761*(16.955)6.741* (4.598)
ATM 0.746*(15.958)000.009* (14.570)
Control variables
ROA −2.844*(−9.747)−4.503* (−14.540)
Size −1.1*(−36.559)−0.726* (−5.555)
Sigma-squaned1.521*(15.032)1.382* (12.369)
Gamma0.990*(746.687)0.992* (707.927)
Log likelihood function−17,41,278175.359
LR test415.2741609.749

Note(s): Standard errors in parentheses***p < 0.01, **p < 0.05, *p < 0.1

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