Hoffmann, Mathias; Stewen, Iryna; Stiefel, Michael - 2021 - This version: December 2020, first version: August 2019
-sized firms (SME) and the role of local public banks in local public finance. Local public banks dominate lending to small and … government debt at all-time lows, local public banks tried to break even, using their market power in geographically segmented … governments which increasingly borrowed from local public banks. We estimate that our mechanism lowered aggregate private …