DeYoung, Robert
[VerfasserIn]
;
Frame, W. Scott
[Sonstige Person, Familie und Körperschaft];
Glennon, Dennis
[Sonstige Person, Familie und Körperschaft];
Nigro, Peter J.
[Sonstige Person, Familie und Körperschaft]
The Information Revolution and Small Business Lending
Erschienen in:Federal Reserve Bank of Atlanta Working Paper Series ; No. 2010-7
Umfang:
1 Online-Ressource (21 p)
Sprache:
Englisch
DOI:
10.2139/ssrn.1577911
Identifikator:
Entstehung:
Anmerkungen:
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments March 1, 2010 erstellt
Beschreibung:
This paper provides empirical confirmation for Petersen and Rajan's (2002) widely accepted conjecture that information technology was the primary driver of the observed increase in small business borrower-lender distances in the United States in recent years. Using a different data source for small business loans, we show that annual increases in borrower-lender distances were slow and steady prior to 1993 (the end point in Petersen and Rajan's data) but accelerated rapidly after that. Importantly, we are able to assign at least half of this acceleration to the adoption of credit scoring technologies by the lending banks. Our tests also reveal strong statistical associations between lending distances and borrower characteristics, lender characteristics, market conditions, regulatory constraints, moral hazard incentives, and principal-agent incentives