firms in the non-financial sector. It finds that bank competition has an overall positive effect on firm creation. However … firms, it also finds that asymmetric information limits the overall positive effect of bank competition on firm creation …. Indeed, bank competition is less favorable to the emergence of new firms in industrial sectors where informational …

Superior information exchanged over the course of lending relationships generates bank-client specificities to the …. Negative shocks, associated with monetary contractions or foreign entry, cause a reallocation of bank credit away from more … transparent borrowers and toward more opaque, more captured borrowers. The paper applies these ideas to the analysis of bank …

examines one particular channel at work: the supply of credit. It presents a model in which a bank, even if managed by risk …

This paper studies the impact of competition on the determination of interest rates and banks’ risk-taking behavior … entry costs foster competition in deposit rate sand reduce banks’ incentives to limit risk exposure. Although higher …

-period model of spatial competition. All lenders face uncertainty with regard to borrowers’ creditworthiness, but, in the process …

The volume of credit extended by a bank can be an informative signal of its abilities in loan selection and management …

banks can extract market power rents. We show that more bank competition results in lower economy-wide risk, lower bank … capital ratios, more efficient production plans and Pareto-ranked real allocations. Perfect competition supports a second best … allocation and optimal levels of bank risk and capitalization. These results are at variance with those obtained by a large …

, or is relatively inefficient, then imperfect competition and intermediate levels of bank risks are optimal. These results … technology exhibits increasing returns to scale, or it is relatively efficient, then perfect competition is optimal and supports … the lowest feasible level of bank risk. Conversely, if the intermediation technology exhibits constant returns to scale …

We use data for more than 2,600 European banks to test whether increased competition causes banks to hold higher … when controlling for the degree of concentration in banking systems, inter-industry competition, characteristics of the …