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We show that asset opacity can improve the efficiency of investment in the economy. We consider a model where … improve economic efficiency, due to a general equilibrium effect …
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Does relationship bank oversight improve firm operational efficiency and reduce default risk? I find that a new loan … from a relationship bank improves the technical efficiency of inefficient firms that have an elevated probability of … relationship bank monitoring are most apparent for borrowers with higher the ex ante default risk and lower baseline efficiency …
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