We measure the consequences of asymmetric information and imperfect competition in the Italian lending market. We show … that banks' optimal price response to an increase in adverse selection varies with competition. Exploiting matched data on … information, mainstream concerns about its effects survive with imperfect competition. …

We study the effects of asymmetric information and imperfect competition in the market for small business lines of … credit. We estimate a structural model of credit demand, loan use, pricing, and firm default using matched firm-bank data …