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those borrowers. We also show that the reduction in loan spreads is related to the expected value of the forthcoming patent …
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the Sea to resolve the legal issues. This chapter concludes that in the meantime, the evolving system of patent law …
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credible information regarding a positive future event – the granting of a patent, to provide evidence of a specific source of …'s industry. Finally, we document that the negative association between the patent information and loan spreads holds primarily … among borrowers with shorter patent-to-cash cycles in longer-term loans (where there is a greater likelihood that the patent …
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We develop an analysis of ex ante monitoring of risky projects in banking. If protected from competition, banks are more concerned about not catching good risk projects when the perceived state of the economy improves, while they are more concerned about being induced to finance bad risk...
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