In this study, we use Stochastic Frontier analysis approach to estimate cost efficiency, economies of scale, and technological progress among Iranian banks from 1999 to 2012. The results show that there is a marked difference in cost efficiency before and after the recent financial sanctions against Iranian banking industry. Moreover, the results indicate that specialized government-owned banks...

Neoclassical economic theory predicts equilibrium, yet the prediction is based on a string of patently absurd assumptions. Furthermore, evidence for instability is pervasive in the behaviour of real economies, implying that real economies are far from equilibrium and their behaviour potentially complex or chaotic. Therefore the neoclassical approach to understanding the behaviour of economies i...