Information Asymmetries, Credit Rationing and Banking Concentration: The Argentinean Case

2008 ◽  
Author(s):  
Martín R. Arroyo
Keyword(s):  
Credit Rationing ◽  
Information Asymmetries ◽  
Banking Concentration

Smaller Businesses and Relationship Banking: The Impact of Participative Behavior

1997 ◽  
Vol 21 (4) ◽  
pp. 83-92 ◽  
Author(s):  
Martin R. Binks ◽  
Christine T. Ennew
Keyword(s):  
Small Firms ◽  
Banking Sector ◽  
Credit Rationing ◽  
Alternative Mechanism ◽  
Information Asymmetries ◽  
Relationship Types ◽  
Using Data ◽  
The Impact ◽  
Flow Of Information ◽  
The Relationship

Although the venture capital industry is undoubtedly of Importance, the majority of finance to smaller businesses continues to be provided by the banking sector. The provision of finance to these businesses is generally thought to be characterized by Information asymmetries, which are likely to lead to some form of credit rationing. To the extent that credit rationing occurs, viable enterprise may be lost. While collateral is commonly cited as a means of counteracting the information asymmetries that lead to credit rationing, an alternative mechanism is to improve the flow of information between business and bank. This is most commonly achieved through the development of a close working relationship. The success of such a relationship depends upon the willingness of both parties to involve themselves with each other and work together. This paper examines the nature of the banking relationship, paying particular attention to the idea of relationship participation and the benefits that accrue to both parties as a result of participation. Using data from over 3000 UK small firms, It is possible to identify four broad relationship types based on the degree to which the bank and the business participate in the relationship. A comparison across different relationship types suggests that there are considerable benefits associated with more participative relationships.

Credit Rationing and Heterogeneity in Corporate Loan Contracts

2014 ◽  
Author(s):  
Mehdi Beyhaghi ◽  
Babak Mahmoudi ◽  
Ali Mohammadi
Keyword(s):  
Credit Rationing ◽  
Loan Contracts ◽  
Corporate Loan

Components Of Credit Rationing

2019 ◽  
Author(s):  
Mehdi Beyhaghi ◽  
Fathali Firoozi ◽  
Abolhassan Jalilvand
Keyword(s):  
Credit Rationing

Low-Carbon Investment and Credit Rationing

2020 ◽  
Author(s):  
Christian Haas ◽  
Karol Kempa
Keyword(s):  
Credit Rationing ◽  
Low Carbon
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