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This paper constructs a new measure of currency mismatch in the banking sector that controls for bank lending to …
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decisions of firms. I find that firms eligible for government bank lending expand employment in politically attractive regions … future employment growth by firms in other regions. The analysis suggests that politicians in Brazil use bank lending to …
Persistent link: https://www.econbiz.de/10013115450
This paper uses a series of experiments with commercial bank loan officers to test the effect of performance incentives … on risk-assessment and lending decisions. We first show that, while high-powered incentives lead to greater screening … effort and more profitable lending, their power is muted by both deferred compensation and the limited liability typically …
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consisting of SME loans in a commercial bank operating in one of the quickly developing banking markets, i.e. in Slovenia …. Accurate LGD estimates of defaulted bank claims are important for provisioning reserves for credit losses, calculating adequate … risk capital and determining fair pricing risky bank loans. While most of the empirical literature in the field …
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We use an experiment with commercial bank loan officers to test how performance based compensation affects risk …-assessment and lending. High-powered incentives lead to greater screening effort and more profitable lending decisions. This effect …
Persistent link: https://www.econbiz.de/10013075422