Market structure, performance, and efficiency: Evidence from the MENA banking sector

This paper tests four related theories on the relationships among market structure, profitability, and efficiency using a stochastic frontier analysis and dynamic panel data for 201 banks in Middle East and North Africa (MENA) countries during the 2005–2012 period. The results show that neither the structure–conduct–performance hypothesis nor the efficient structure hypothesis holds in MENA countries. This finding has important implications,...