Most studies on data envelopment analysis arrive at efficiency values that are too similar to be compared. Using a “cost efficiency model”, we gauge the efficiency of China’s banks by analyzing 25 listed banks from 2001 to 2016 to resolve this issue. The results show that the efficiency value of each bank has been clearly differentiated. Moreover, we determine that the banks’ efficiency would only improve by lowering the number of employees, reducing payroll, or increasing loans and making investments to generate higher revenues. Additionally, owing to policies in favor of the development of rural areas, certain rural commercial banks increased their efficiency and gradually displaced urban counterparts in terms of operation efficiency in 2016. | Gauging the efficiency of China’s bank using a cost efficiency model
