OECD-GVH Regional Centre for Competition in Budapest website
Apparent characteristics of the Hungarian banking market such as large profits and high margins suggest weak competitive pressures. Weak competition in turn, may reduce efficiency in a lack of pressures to converge to marginal cost and to stimulate managerial efforts to reduce X-inefficiency.
This working paper is part of the OECD's 2004 Economic Survey for Hungary and is one of a series of reviews on competition issues across OECD member countries.
English, , 619kb
A major challenge of economic transition in central and eastern European countries is creating the institutional framework crucial to market operation. OECD Economic Studies No. 25.