. Recent research has used variation induced by these rules to investigate the connection between securitization and lender … moral hazard problem posed by securitization. …

originators' screening behavior. -- financial crisis ; moral hazard ; mortgages ; securitization ; credit scores … research has hypothesized that these cutoff rules result from a securitization rule of thumb. Under this theory, an observed … jump in defaults at the cutoff would imply that securitization led to lax screening. We argue instead that originators …

. Recent research has used variation induced by these rules to investigate the connection between securitization and lender … moral hazard problem posed by securitization. …

the moral hazard effect of securitization on underwriting. This research design is premised on the assumption that these … cutoff rules are a response by lenders to securitization rules of thumb. We reexamine the evidence and find it is … cutoff rules in underwriting, one cannot use these same cutoff rules to learn about the effect of securitization on …

securitization or if they choose vertical slice retention instead of retaining the equity tranche. Moreover, the relevance of credit …

mortgages. Then, I analyze the process of securitization, as used in corporate finance to raise funding, and explain how these …

theoretical models and a survey of institutions involved in securitization. With the conclusions of this analysis we evaluate the …

purchase mortgages to subprime borrowers. We also document that the expansion in speculative mortgage products and underwriting …