Distance and private information in lending
WebJul 1, 2010 · Distance and Private Information in Lending. Sumit Agarwal, Robert Hauswald. Published 1 July 2010. Economics. Review of Financial Studies. We study the effects of … WebCiteSeerX - Document Details (Isaac Councill, Lee Giles, Pradeep Teregowda): We study the effects of physical distance on the acquisition and use of private information in …
Distance and private information in lending
Did you know?
WebDec 1, 2024 · Loan characteristics include the loan size, loan-to-value ratio, and collateral centrality. The centrality measure is strongly correlated with proximity to the inside bank (ρ=-0.831) and thus encompasses proximity, employed in earlier research ( Degryse and Ongena, 2005 ; Agarwal and Hauswald, 2010 ), and a measure of the general ... WebUsing billions of observations on the locations of bank branches and firms in China, we measure lender-borrower distance by geographic information system (GIS) and find a …
WebFeb 1, 2007 · Distance and information in lending decisions Authors: Sumit Agarwal Robert B. H. Hauswald Abstract Abstract Using a unique data set of loan applications by … Webdistance for each loan. We begin by documenting new empirical facts about small business lending. In the past two decades, the share of very distant small business loans (e.g. …
WebSep 1, 2024 · As discussed, loan distance is an ideal measure for overall information asymmetry between lender and borrower in each loan transaction. Besides, the adopt … WebApr 6, 2024 · Abstract. We investigate the role of physical distance in corporate lending by exploiting infrastructure improvements as shocks to travel time. Lower travel time increases the likelihood of ...
WebFeb 17, 2024 · Analyzing loan rates and firms’ decision to switch lenders provides further evidence for banks’ strategic use of private information. However, distance erodes our lender’s ability to collect ...
Webdistance between borrowers and lenders in Section I. In Section II, we ex-amine plausible, but relatively mechanical, explanations of the changes we document. In Section III, we outline an explanation based on the changing availability of information and its effect on lending practice. We examine evidence that such changes may, in fact, be ... support care and nursing saWebprivate information as distance increases and further points to its local nature. Our main contribution consists of providing direct evidence on the location-specific nature of … support carillons koshiWebphysical distance on the collection of soft private information, its hardening in the credit-assessment process, and its effects on exchange in credit markets. To shed light on … support care plan templatehttp://ushakrisna.com/rfs.pdf support care worker cvWebDec 17, 2002 · The distance between small firms and their lenders is increasing, and they are communicating in more impersonal ways. After documenting these systematic changes, we demonstrate they do not arise from small firms locating differently, consolidation in the banking industry, or biases in the sample. support casabrewsWebAnalyzing loan rates and firms’ decision to switch lenders provides further evidence for banks’ strategic use of private information. However, distance erodes our lender’s ability to collect proprietary intelligence and to carve out local captive markets, suggesting that the requisite soft information is primarily local. (JEL G21, L11 ... support care agencies near meWebMar 29, 2008 · Our results shed new light on the importance of soft information in informationally opaque credit markets and show how borrower proximity facilitates the … support cashlib