entrepreneurs, and the uninformed bank needs an additional screening device. VC fulfils that role. …

For the last decade economists have been preoccupied with the decline in bank financing to small businesses and … policy instruments that in some sense encourage more bank lending to SMEs. This leads us to explore the recent surge in …

This paper shows how the rise of private equity has fueled non-bank participation in the U.S. syndicated loan market …-backed loans are associated with lower active bank monitoring, lower loan shares retained by the lead arranger, and more loan sales … to non-bank intermediaries (e.g., CLOs). Consistent with moral hazard in monitoring, our measure of active bank …

low-quality bank-dependent issuers from higher-quality issuers with access to public debt. In a baseline equilibrium with … expensive bank lending, this separation across debt market segments provides information, but equilibrium ratings are … uninformative. A positive shock to private (bank) relative to public lending supply allows banks to compete with public lenders for …

with less cash, firms for whom Lehman was a lead-bank, and firms that lost access to larger amounts of committed credit …