Gehrig, Thomas; Stenbacka, Rune - C.E.P.R. Discussion Papers - 2001
We show that information sharing among banks may serve as a collusive device. An informational sharing agreement is an … a-priori commitment to reduce informational asymmetries between banks in future lending. Hence, information sharing …. We provide a large class of economic environments, where a ban on information sharing would be strictly welfare enhancing. …