Hoffmann, Mathias; Okubo, Toshihiro - 2021 - This version: May 2021
dominate local banking markets for over a century while bigger, country-wide banks came to dominate in other regions. By the … country. Hence, comparative advantage in silk favored the emergence of a banking-system dominated by small relationship … lenders. But due to the local nature of these lenders, it also caused long-term geographical segmentation in banking markets. …