period during which more than 1,300 banks failed. Bank failures are fundamentally important because of the unique role played … during this period. First, commercial real estate was only a factor in the bank failures of 1988-92. Second, construction … loans played a much larger role in bank failures than permanent loans, and the relationship is strongest with construction …

unique hand collected datasets on legal change as well as changes in bank ownership, we find that lending volume responds …

they started businesses with the bank loans due to lack of own capital. Most of the businesses surveyed feel the need for …

models credit risk of banks as a put option on bank assets, a tradition that originated with Merton. We conceive of an … individual bank’s systemic risk as its contribution to the potential sector-wide net. In this regard, the analysis of public …

recovery rates on lagged macroeconomic conditions. That is, bank loan contracts established in economic recessions have tight …

We offer a model and evidence on firms' optimal bankruptcy decisions. In the model, both the borrower and bank lenders …. For example, firms with a small share of bank debt as a fraction of total debt tend to voluntarily file for bankruptcy …. When a firm depends heavily on bank debt, the bankruptcy boundary is more likely to be determined by the bank. Our results …