We examine the effect of bank mergers on the price and availability of credit in the residential mortgage market. We find that, compared to non-acquiring banks in the same local market, acquiring banks that gain large market shares charge significantly higher interest rates but also lend larger...

This paper studies the impact of the global financial crisis (GFC) on home mortgage pricing strategies and the credit supply of Australian financial institutions (FIs). It first employs the traditional error correction model to investigate the pass-through of monetary shocks by Australian FIs....

This paper uses high frequent product-level data to study the pricing and sales of home mortgages in Australia, focusing on the impact of the Global Financial Crisis (GFC). The study finds responses to a monetary shock vary substantially across financial institutions and big banks lead in price...

Since the Spring of 2009, Dutch mortgage rates have been structurally high, both in comparison to the rest of Europe and to funding costs. This paper reviews the debate on possible causes, which are of two kinds: (i) the higher mortgage rates reflect higher funding costs; and (ii) softer...

We provide a framework for empirical analysis of negotiated-price markets. Using mortgage market data and a search and negotiation model, we characterize the welfare impact of search frictions and quantify the role of search costs and brand loyalty for market power. Search frictions reduce...

This paper studies the effects of mortgage subsidies and imperfect competition in the U.S. mortgage market. I exploit novel quasi-experimental variation in interest rates generated by the discontinuities in pricing rules and find evidence of advantageous selection. I develop and estimate a rich...

The U.S. mortgage market links homeowners with savers all over the world. In this paper, we ask how much of the flow of money from savers to borrowers actually goes to the intermediaries that facilitate these transactions. Based on a new methodology and a new administrative dataset, we find that...

We show how price leadership bans, imposed as part of the European Commission's State aid control on all main mortgage providers except the largest bank, shifted the Dutch mortgage market from a competitive to a collusive price leadership equilibrium. In May 2009, mortgage rates in the...

We show how price leadership bans, imposed as part of the European Commission's State aid control on all main mortgage providers except the largest bank, shifted the Dutch mortgage market from a competitive to a collusive price leadership equilibrium. In May 2009, mortgage rates in the...