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 …

Small businesses (SMEs) depend on banks for credit. We show that the severity of the Eurozone crisis was worse in … countries where firms borrowed more from domestic banks ("domestic bank dependence") than in countries where firms borrowed more … from international banks. Eurozone banking integration in the years 2000-2008 mainly involved cross-border lending between …

question, we identify the compositional changes in banks' supply of credit using the variation in their holdings of residential …

bank credit reallocation with endogenous firm entry and exit that allows for both theoretical and quantitative analysis. By … also redirect existing credit to more productive entrants. This reduces banks' dependence on household deposits that are …How do banks facilitate creative destruction and shape firm turnover? We develop a dynamic general equilibrium model of …

. However, theory does not tell us a lot about the economic rationale for relationship lending in the context of multiple bank …, small, and innovative firms) have a multitude of bank lenders, where one may be special in the sense of relationship lending … financing. To fill this gap, we analyze the optimal debt structure in a model that allows for multiple but asymmetric bank …

We study the sensitivity of banks' credit supply to small and medium size enterprises (SMEs) in the UK to banks … branches in the UK, we connect firms' access to bank credit to the financial condition (i.e., bank health and the use of core … deposits) of all bank branches in the vicinity of the firm over the period 2004-2011. Before the crisis, banks' local financial …

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 …

loan from a fintech lender than a traditional bank. Among conventional lenders, smaller banks were much less likely to lend … to show that the disparity is not primarily explained by differences in pre-existing bank or credit relationships, firm … private lenders but federally guaranteed, largely eliminating unobservable credit risk as a factor in explaining differential …

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