4.2. Determinants of Banking Efficiency
Furthermore, to test the statistical association of the efficiency estimates with variables based on CAMEL framework, and to determine their influence on the efficiency scores, second- stage of DEA method as suggested by Coelli, Prasada, O'Donnell, and Battese (2005) is used. After solving for DEA in the first-stage, the efficiency scores are then regressed by using Panel Data Tobit regression. In Panel Data Tobit regression all efficiency scores i.e. Technical efficiency (CRS) and Technical efficiency (VRS) are used as dependent variables. The results are shown in Table 5.