technologies are al-ready widely in use in the market by a large group of small mutual banks, an increase in competition may drive … local credit markets. We provide evidence that marginal increases in interbank competition are detrimental to relationship … lending in markets where large and out-of-market banks are predominant. On the contrary, where relational-based lending …

banks. We find that more competition leads to more risk taking. We also examine the effects of bank competition on the …This paper studies empirically the relationship between competition and risk taking in banking markets. We exploit an … unique dataset providing information about all bank loans to Norwegian firms over several years. Rather than relying on …

loan from a fintech lender than a traditional bank. Among conventional lenders, smaller banks were much less likely to lend … to Black-owned firms, while the Top-4 banks exhibited little to no disparity after including controls. We use novel data … to show that the disparity is not primarily explained by differences in pre-existing bank or credit relationships, firm …

bank and a crowdlending platform and show that the entry of crowdlending can induce a switching effect as well as a credit … reduced the small business loans originated by banks, in particular, in the low- or moderate-income tracts as well as in the …

absent in these markets. We introduce a dataset of 414 SME marketplace loans and 8,236 online loan days to test these …

A puzzling but consistent result in the empirical literature on banking is that firms with close bank ties do not grow … faster than bank-independent firms. In this paper, we reconsider the link between relationship lending and firms' growth … can be compensated by other negative capture, risk and externality effects which make relational banks reluctant to …

How does uncertainty affect the costs of raising finance in the bond market and via bank loans? Empirically, this paper … finds that heightened uncertainty is accompanied by an increase in corporate bond yields and a decrease in bank lending … for banks. To reduce uncertainty, banks acquire additional costly information about borrowers. More information increases …

Trade and innovation cause structural change. Productive factors must flow from declining to growing industries. Banks … capital standards, and cost of bank equity determine credit reallocation, sectoral expansion and trade patterns …

How do banks facilitate creative destruction and shape firm turnover? We develop a dynamic general equilibrium model of … bank credit reallocation with endogenous firm entry and exit that allows for both theoretical and quantitative analysis. By … restructuring loans to firms with poor prospects and high default risk, banks not only accelerate the exit of unproductive firms but …

Using data for a large sample of banks from 31 OECD countries over 1995–2018, we analyze the impact of belonging to a … banking group on banks’ net interest margins. Our results confirm a positive relationship between interest rates and interest … margins, which is stronger in a low-interest rate environment. For banks belonging to an international banking group, we find …