The past decade has seen significant changes in the structure of the corporate lending market, with non-bank … institutional investors playing larger roles than they historically have played. These non-bank institutional lenders typically have … higher required rates of return than banks, but invest in the same loan facilities. We hypothesize that non-bank …

This paper develops a network model of interbank lending, in which banks decide to extend credit to their potential … borrowers. Borrowers are subject to shocks that may force them to default on their loans. In contrast to much of the previous … literature on financial networks, we focus on how anticipation of future defaults may result in ex ante "credit freezes," whereby …

scale from pre-existing credit lines and loan commitments in anticipation of cash flow disruptions from the economic …-shock bank capital, explain why banks were able to accommodate these liquidity demands …

competitive interactions between banks and non-bank lenders (fintech firms). Trust enables lenders to have assured access to …

separate firm-borrowing shocks from bank-supply shocks using a vast sample of matched bank-firm lending data. We decompose … aggregate loan movements in Japan for the period 1990 to 2010 into bank, firm, industry, and common shocks. The high degree of … role for granular shocks as in Gabaix (2011). We show that idiosyncratic granular bank-supply shocks explain 30-40 percent …

paper investigates whether bank ties in Japan were costly for mature and healthy firms in the 1980's and 1990's, and whether … banks continued to facilitate investment once non-bank financing options became available. Using the explicit bond issuing … much larger for main bank client firms, once bond market access is controlled for. This result, coupled with results on the …

established through bank-to-bank lending and provide evidence to support this claim. To analyze dynamics of formation of such …

monetary policy. The theory unifies an endogenous supply of illiquid local loans and risk-sharing among subsidiaries of bank …

We use the 2020 Small Business Credit Survey to study the sources of racial disparities in use of the Paycheck … receive PPP loans. About 55% of this take-up disparity is attributable to a disparity in application propensity, while the … bank approval disparity is also larger in more racially biased counties. We conclude that insofar as automation by fintechs …