Did the Paycheck Protection Program Help Small Businesses? Evidence from Commercial Mortgage-Backed Securities

• 成果类型: Article
• 署名作者: Agarwal, Sumit; Ambrose, Brent W.; Lopez, Luis A.; Xiao, Xue
• 署名单位: National University of Singapore; Pennsylvania Commonwealth System of Higher Education (PCSHE); Pennsylvania State University; Pennsylvania State University - University Park; University of Illinois System; University of Illinois Chicago; University of Illinois Chicago Hospital; Virginia Polytechnic Institute & State University
• 刊物名称: AMERICAN ECONOMIC JOURNAL-ECONOMIC POLICY
• ISSN/ISSBN: 1945-7731
• DOI: 10.1257/pol.20220181
• 发表日期: 2024
• 页码: 95-132
• 关键词: model; Covid-19; default

摘要

In this study, , we examine the broader economic effects of the US federal government's Paycheck Protection Program by focusing on the performance of securitized commercial mortgages. We provide novel evidence for spillover effects of government interventions in the face of economic crises. We find that the PPP reduced mortgage delinquencies by approximately $36 billion in 2020. The strongest effects occur when PPP funds targeted businesses in areas most affected by COVID-19,- 19 , where banks overperformed in providing PPP loans, , and among mortgages on properties in retail and lodging. Thus, , PPP relief to small businesses eased economic distress beyond the labor market. ( JEL G21, G28, I12, I18, L25, R33) )