Incentive contracts and bank performance - Evidence from rural China

被引:10
|
作者
Li, Hongbin [1 ]
Rozelle, Scott
Zhou, Li-An
机构
[1] Chinese Univ Hong Kong, Dept Econ, Hong Kong, Hong Kong, Peoples R China
[2] Univ Calif Davis, Dept Agr & Resource Econ, Davis, CA 95616 USA
[3] Peking Univ, Guanghua Sch Management, Beijing, Peoples R China
关键词
contract; transition; banking; China;
D O I
10.1111/j.1468-0351.2007.00273.x
中图分类号
F [经济];
学科分类号
02 ;
摘要
This paper, using unique survey data from the banking industry in rural China, investigates the effect of incentive contracts on performance. In the context of China's economic transition, we find that the incentive contracts have a positive effect on the bank manager's performance in deposit taking and non-performing loan reduction. This finding is robust when we control for the endogeneity of incentive contracts. Our empirical results present evidence on the positive effects of incentive-based banking reforms in rural China.
引用
收藏
页码:109 / 124
页数:16
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