Sharing the Pain? Credit Supply and Real Effects of Bank Bail-ins

• 成果类型: Article
• 署名作者: Beck, Thorsten; Da-Rocha-Lopes, Samuel; Silva, Andre F.
• 署名单位: City St Georges, University of London; Centre for Economic Policy Research - UK; Leibniz Association; Ifo Institut; Universidade Nova de Lisboa; Federal Reserve System - USA; Federal Reserve System Board of Governors
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhaa067
• 发表日期: 2021
• 页码: 1747
• 关键词: Moral hazard; CRISIS; INVESTMENT; management; distress; crunch; POLICY; FIRMS

摘要

We analyze the credit supply and real effects of bank bail-ins by exploiting the unexpected failure and subsequent resolution of a major Portuguese bank. Using loan-level data, we show that while firms more exposed to the bail-in suffered a significant contraction of credit at the intensive margin, they were on average able to compensate for the supply-driven shock. However, affected SMEs experienced a binding reduction of funds available through credit lines, and those with lower internal liquidity increased precautionary cash holdings and reduced investment and employment. Our results highlight the trade-off policymakers face when considering this new bank resolution mechanism.