The competitive market structure created by the Monetary Control Act of 1980 and changing borrower demand have combined to impact agricultural banks. In addition, changes in the competitive landscape brought about by mergers and acquisitions have raised concerns about whether those mergers are motivated by a strategy for greater efficiency or a desire for greater market power. Moreover, there are concerns about how these new dynamics may impact the availability and delivery of credit to agriculture. The results of a study show that deregulation brought about productivity and efficiency declines in both ag bank and non-ag banks. On average, the performance of ag banks suffered in the post-deregulation period more than non-ag banks.