Abstract
This paper uses granular data on syndicated loans to analyse the impact of international reforms for Global Systemically Important Banks (G-SIBs) on bank lending behaviour. Using a difference-in-differences estimation strategy, we find no effect of the reforms on overall credit supply, while at the same time documenting a sub-stantial decline in borrower-and loan-specific risk factors for the affected banks. Moreover, we detect a sig-nificant decline in the pricing gap between interest rates charged by G-SIBs and other banks, which we interpret as indirect evidence for a reduction in funding cost subsidies. Overall, our results suggest that the G-SIB reforms have helped to mitigate moral hazard problems associated with systemically important banks, while the con-sequences for the real economy have been limited.
Dokumententyp: | Zeitschriftenartikel |
---|---|
Fakultät: | Volkswirtschaft |
Themengebiete: | 300 Sozialwissenschaften > 330 Wirtschaft |
ISSN: | 1572-3089 |
Sprache: | Englisch |
Dokumenten ID: | 96899 |
Datum der Veröffentlichung auf Open Access LMU: | 05. Jun. 2023, 15:24 |
Letzte Änderungen: | 17. Okt. 2023, 14:53 |