Relationship lending helps reduce asymmetric information, which potentially creates benefits for borrowers. However, empirical evidence is mixed. We conduct a meta-analysis to summarize and explain the heterogeneity in the results in the literature using hand-collected information from 101 studies in the U.S., Europe, Asia and Latin America from 1970-2010. We find that strong relationships are ...

Based on survey data from 193 banks in 20 countries we provide the first bank-level analysis of the determinants of foreign currency (FX) lending in emerging Europe. We find that FX lending by all banks, regardless of their ownership structure, is strongly determined by the macroeconomic environment. We find no evidence of foreign banks ‘pushing’ FX loans indiscriminately because of easier acce...

Gender discrimination in accessing financial resources is a mounting concern in developing countries, but empirical evidence of such discrimination is limited. Using data collected from PPdai.com, one of the largest P2P lending platforms in China, we investigate potential gender discrimination in online P2P credit lending market in China. The results illustrate that female borrowers are more li...

We study the effects of the interplay between banking deregulation and corporate governance on the lending behavior of savings banks in Spain. The removal of branching barriers that constrained these banks has led to a nationwide expansion, increasing the number of their branches and their commercial lending volume dramatically. Analyzing a unique data set combining information on the geographi...

A long standing macroeconomic issue is how monetary policy a ects the real economy The lending view is that tight money a ects aggregate demand by shifting the supply schedule left in the bank loan market Previous studies have found that loans contract following tight money It is not clear whether the nancial contraction re ects a shift of the supply schedule or the demand schedule in the loan ...

Most important decision problems—virtually all capital investments and planning situations—involve risky cash flows with uncertainties that are resolved over time. In most of these problems, the decision-maker has access to financial markets and may borrow and lend to smooth consumption over time. Yet, because of the difficulty of incorporating these borrowing and lending decisions into the eva...

In this paper, we are interested in the factors that influence herding behavior in P2P lending marketplaces. We are using data from Prosper.com to examine whether internal market specific factors and external economic factors influence the amount of herding exhibited in the market. We also investigate what consequences herding has and how marketplace participants can benefit or suffer from herd...

In recent years, there has been a significant growth in the number of online microlending sites that connect individuals to small businesses led by low-income citizens. This type of social lending platforms allow individuals from all over the world to explore large online databases of businesses that require small loans to succeed; and citizens without access to formal banking systems to borrow...