Chu, Ling; Mathieu, Robert; Robb, Sean; Zhang, Ping - In: Review of Quantitative Finance and Accounting 28 (2007) 2, pp. 147-162
In this paper, we provide evidence that banks with a low level of capitalization have reduced their commitment with respect to lines of credit after the introduction of the Basle Accord. A bank's lending behavior reflects its level of commitment towards borrowers, which in turn affects the level...