Total Factor Productivity in the Turkish Insurance Industry

Adnan Kasman and Evrim Turgutlu

International Journal of the Economics of Business, 2009, vol. 16, issue 2, 239-247

Abstract: This paper employs the Malmquist total factor productivity (TFP) index to examine the total factor productivity change in the life and non-life branches of the Turkish insurance sector for the period 2000-2005. The Malmquist productivity index is decomposed into two components: the efficiency change component and the technical change component. The results indicate a decrease of 19.4 % in total factor productivity in the life insurance sector and an increase of 6.1% in the non-life insurance sector during the sample period. Significant TFP growth in the non-life insurance sector has occurred during 2003-2005. This growth is seen to be mainly due to the change in production technology. The firms are then split into two groups, domestic and foreign firms, according to their ownership composition. The results indicate a decline in total factor productivity for both groups in the life insurance sector whereas in the non-life insurance sector, an increase in the total factor productivity of domestic firms is observed.

Keywords: Malmquist TFP Index; Turkish Insurance Industry; Technical Efficiency; Scale Efficiency (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://www.tandfonline.com/10.1080/13571510902917558 (text/html)
Access to full text is restricted to subscribers.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:taf:ijecbs:v:16:y:2009:i:2:p:239-247

Ordering information: This journal article can be ordered from
http://www.tandfonline.com/pricing/journal/CIJB20

DOI: 10.1080/13571510902917558

Access Statistics for this article

International Journal of the Economics of Business is currently edited by Eleanor Morgan

More articles in International Journal of the Economics of Business from Taylor & Francis Journals
Bibliographic data for series maintained by Chris Longhurst ().