role of a limited set of variables (collateral, type of lender and bank borrower relationship) while controlling for the …

firms of unobserved credit quality when firms pledge collateral to secure the loans. Loan data from the Spanish Credit … concentration (which is shown to be positively correlated with market power) and with the availability of collateral, although the … increase with the availability of collateral, but the increase is lower for banks operating in more concentrated credit markets …

terms of screening of borrowers and in collateral requirements. Therefore, we confirm the predictions from theoretical …

grants a loan and the location of the borrower) on the use of collateral for business loans by Spanish banks on the basis of … the recent lender based theory of collateral [Inderst and Mueller (2007)]. We find that, for the average borrower, the use … of collateral is higher for loans granted by local lenders than by distant ones. We also show that the difference in the …