firms and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the … benefit of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts …. The model predicts a greater use of multiple-bank lending when banks are small relative to investment projects, firms are …

and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the benefit … of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts …. The model predicts a greater use of multiple-bank lending when banks are small relative to investment projects, firms are …

diversification dominates the costs of free-riding and duplication of effort. The model predicts a greater use of multiple-bank …This paper analyzes the optimality of multiple-bank lending, when firms and banks are subject to moral hazard and … monitoring is essential. Multiple-bank lending leads to higher per-project monitoring whenever the benefit of greater …

firms and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the … benefit of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts …. The model predicts a greater use of multiple-bank lending when banks are small relative to investment projects, firms are …

firms and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the … benefit of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts …. The model predicts a greater use of multiple-bank lending when banks are small relative to investment projects, firms are …

firms and banks are subject to moral hazard and monitoring is essential. Multiple-bank lending is optimal whenever the … benefit of greater diversification in terms of higher monitoring dominates the costs of free-riding and duplication of efforts …. The model predicts a greater use of multiple-bank lending when banks are small relative to investment projects, firms are …

We model the impact of bank mergers on loan competition, reserve holdings and aggregate liquidity. A merger changes the … them because of a diversification effect. The merger also affects loan market competition, which in turn modifies the … distribution of bank sizes and aggregate liquidity needs. Mergers among large banks tend to increase aggregate liquidity needs and …

stock prices of non-financial firms. Bank targets become more profitable and larger, while those of non-financial firms … remain mostly unaffected. A major determinant of the positive bank returns is the degree of opaqueness that characterizes the … institutional setup for supervisory bank merger reviews. The legal design of the supervisory control of bank mergers may therefore …