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We use a natural experiment and matched bank/firm data to identify the effects of bank guarantees on allocative … efficiency. We find that with guarantees in place unproductive firms invest more and maintain higher rates of sales growth …
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bank/firm data, we find that public guarantees reduce allocative efficiency. With guarantees in place, poorly performing … lawsuit, to identify the real effects of these guarantees on the allocation of credit ("allocative efficiency"). Using matched …
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The German state banks - or Landesbanks - are not only some of the largest banks in Germany but are also a dominant force in the international banking sector. These state-owned banks enjoy special privileges and government support which have made them major players in the global arena of banking...
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