The study looked at U.S. banks in 1984 to see how efficient they were. They found that inefficiencies in how banks operated were more important than their size or the types of products they offered. Most inefficiencies were due to using too many physical resources, rather than paying too much interest. Using resources in the wrong proportions was a bigger issue than using the wrong types of resources. This means that banks that can control their costs well will do better in a competitive market than banks of a certain size or with specific products.