This paper investigates the determining factors of bank monitoring in small business lending. Unlike previous studies that have relied on proxies of a bank's monitoring effort, we use a large and unique data set that includes the number of monitoring contacts per year between a European bank and...

We examine the relationship between the tone of mandatory disclosures and bank risk insolvency to determine what this qualitative information may reveal about bank stability. By using text analysis and the context-specific text dictionaries of Loughran and McDonald, we find that qualitative...