Housing Price Booms and Crowding-Out Effects in Bank Lending

• 成果类型: Article
• 署名作者: Chakraborty, Indraneel; Goldstein, Itay; MacKinlay, Andrew
• 署名单位: University of Miami; University of Pennsylvania; Virginia Polytechnic Institute & State University
• 刊物名称: REVIEW OF FINANCIAL STUDIES
• ISSN/ISSBN: 0893-9454
• DOI: 10.1093/rfs/hhy033
• 发表日期: 2018
• 页码: 2806
• 关键词: liquidity shocks evidence; INTERNAL CAPITAL-MARKETS; loan sales; transmission; INVESTMENT; finance; CRISIS; IMPACT; securitization; constraints

摘要

Analyzing the period 1988-2006, we document that banks that are active in strong housing markets increase mortgage lending and decrease commercial lending. Firms that borrow from these banks have significantly lower investment. This is especially pronounced for firms that are more capital constrained or borrow from more-constrained banks. Various extensions and robustness analyses are consistent with the interpretation that commercial loans were crowded out by banks responding to profitable opportunities in mortgage lending, rather than with a demand-based interpretation. The results suggest that housing prices appreciations have negative spillovers to the real economy, which were overlooked thus far.