Post-crisis stress tests have altered banks' credit supply to small business. Banks affected by stress tests reduce … credit supply and raise interest rates on small business loans. Banks price the implied increase in capital requirements from … stress-tested banks do not own branches near borrowers, and prices rise mainly where they do. These reductions in supply are …

Post-crisis stress tests have altered banks' credit supply to small business. Banks most affectedby stress tests … suggest that banks price thestress-test induced increase in capital requirements where they have local knowledge, and … exitwhere they do not. Stress tests do not, however, reduce aggregate credit. Small banks seem toincrease their share in …

Post-crisis stress tests have altered banks' credit supply to small business. Banks affected by stress tests reduce … credit supply and raise interest rates on small business loans. Banks price the implied increase in capital requirements from … stress-tested banks do not own branches near borrowers, and prices rise mainly where they do. These reductions in supply are …