作者：Bruche, Max; Malherbe, Frederic; Meisenzahl, Ralf R.
作者单位：Humboldt University of Berlin; University of London; University College London; Center for Economic & Policy Research (CEPR); Federal Reserve System - USA; Federal Reserve Bank - Chicago
摘要：What is the economic role played by arrangers of leveraged loans, and what are the risks they face? We provide evidence that arrangers solve a demand discovery problem. Investors have incentives to feign little interest in the loan to obtain better terms. To deter such behavior, arrangers underprice hot deals and ration investors on cold deals. The risk associated with demand discovery is often shared between borrowers and arrangers. One implication is that to ration investors on cold deals, a...
作者：Levine, Ross; Lin, Chen; Peng, Qilin; Xie, Wensi
作者单位：University of California System; University of California Berkeley; University of Hong Kong; Chinese University of Hong Kong
摘要：We investigate how communication within banks affects small business lending. Using travel times between a bank's headquarters and its branches to proxy for the costs of communicating soft information, we exploit shocks to these travel times-the introduction of new airline routes-to evaluate the impact of within-bank communication costs on small business loans. We find that reducing headquarters-branch travel time boosts small business lending in the branch's county. Several extensions suggest...
