Showing 1 - 10 of 15
increase in its availability for firms, in particular for those at high risk of default. Judicial efficiency increases leverage …
Persistent link: https://www.econbiz.de/10013226485
The model developed in this paper extends the framework of self-fulfilling credit market freezes proposed by Bebchuk and Goldstein (2011) by endogenizing firms' investments decisions. The existence of an aggregate investment threshold below which individual investment projects are unsuccessful...
Persistent link: https://www.econbiz.de/10012946215
Switching costs are a key determinant of market performance. This paper tests their existence in the corporate loan market in which they are likely to play a central role because of the complexity of contracts and informational problems. Using very detailed data at bank-firm level on four...
Persistent link: https://www.econbiz.de/10013136578
This paper analyzes the effects of the financial crisis on credit supply by using highly detailed data on bank-firm relationships in Italy after Lehman's collapse. We control for firms' unobservable characteristics, such as credit demand and borrowers' risk, by exploiting multiple lending. We...
Persistent link: https://www.econbiz.de/10013138576
We study the effect of the increase in Italian sovereign debt risk on credit supply on a sample of 670,000 bank-firm relationships between December 2010 and December 2011, drawn from the Italian Central Credit Register. To identify a causal link, we exploit the lower impact of sovereign risk on...
Persistent link: https://www.econbiz.de/10013082512
We investigate the determinants of Italian house prices and residential investments in a structural model with possible disequilibria in the market for lending to both households and firms in the building sector. Based on a structural approach that takes into account the multi-fold relationships...
Persistent link: https://www.econbiz.de/10012963387
Using a dataset that combines bank organizational variables with information on firms' credit demand and balance-sheet indicators, we investigate the impact of how bank lending was organized on credit dynamics during the 2008-09 financial crisis. Our main findings suggest that the organization...
Persistent link: https://www.econbiz.de/10012956896
We examine the delinquency rate for mortgages originated before and after the 2008 financial crisis, using a novel and large representative panel obtained by merging data from tax records and credit registers. First, we estimate the selection into the mortgage market using an exogenous index of...
Persistent link: https://www.econbiz.de/10013023908
We estimate a fully-fledged structural system for the housing market in Italy, taking into account the multi-fold link with bank lending to both households and construction firms. The model allows the house supply to vary in the short run and the banking sector to affect the equilibrium in the...
Persistent link: https://www.econbiz.de/10013036215
The work analyses the characteristics of supply in the Italian credit market with a focus on the years 2009-2014. By using a new survey, I find that approximately 40 percent of the decline in business lending originates in the tightening of bank credit standards, with a significant decrease in...
Persistent link: https://www.econbiz.de/10012827458