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This paper studies the impact of bank mergers on firm-bank lending relationships using information from individual loan … contracts in Belgium. We analyse the effects of bank mergers on the probability of borrowers maintaining their lending … relationships and on their ability to continue tapping bank credit. The environment reflects a number of interesting features: high …
Persistent link: https://www.econbiz.de/10013137097
This paper studies the impact of bank mergers on firm-bank lending relationships using information from individual loan … contracts in Belgium. We analyse the effects of bank mergers on the probability of borrowers maintaining their lending … relationships and on their ability to continue tapping bank credit. The environment reflects a number of interesting features: high …
Persistent link: https://www.econbiz.de/10011625812
Departing from the existing literature, which associates credit information sharing with improved access to credit in advanced economies, we examine whether credit information sharing can also reduce loan default rate for banks domiciled in developing countries. Using a large dataset covering...
Persistent link: https://www.econbiz.de/10012856421
Regulation and capital constraints may force banks and collateralized loan obligations (CLOs) to sell deteriorating loans, potentially hampering renegotiation and amplifying the initial negative shock to the borrower. We show that banks and CLOs sell downgraded loans to mutual funds and hedge...
Persistent link: https://www.econbiz.de/10012602665
This paper analyzes the effects of bank mergers on bank firm relationships. Using matched bank-firm level data, I find … positive effects of mergers for borrowers that continue the lending relationship with the consolidated bank. On average …
Persistent link: https://www.econbiz.de/10011604980
We empirically examine the impact of bank consolidation on bank acquisition of soft information about borrowers. Using …
Persistent link: https://www.econbiz.de/10012954778
This paper examines two contrasting interpretations of how bank market concentration (Market Power Hypothesis) and …
Persistent link: https://www.econbiz.de/10013026777
Based on a unique hand-collected database of 389 loans obtained from a French social bank dealing with small businesses …
Persistent link: https://www.econbiz.de/10013065535
rates in later periods for safer borrowers. The results are stronger under more intense bank competition. Our findings …
Persistent link: https://www.econbiz.de/10012899129
Small business lending has historically been very local, but distances between small businesses and their lenders have steadily increased over the last forty years. This paper investigates a new lending strategy made possible by distant small business lending: industry specialization. Using data...
Persistent link: https://www.econbiz.de/10012230524