Karolin Kirschenmann's Article Credit Rationing in Small Business Bank Relationships Accepted for Journal of Financial Intermediation
The article "Credit rationing in small firm-bank relationships" is published at the Journal of Financial Intermediation
The article "" focuses on credit rationing in small firm-bank relationships by using a unique data set of matched loan applications and contracts. The author establishes the degree of credit rationing by relating a firm's requested loan amount to the bank's granted amount. In line with theoretical predictions, credit rationing is higher for opaque than transparent firms at the beginning of their bank relationships and decreases over time for both. After testing for several alternative explanations, the results suggest that information and incentive problems explain the observed credit rationing and its dynamics.
Read more news
Four physicists receive significant funding from the Jane and Aatos Erkko Foundation
The grants are used to study things like overheating quantum computers and early-stage water condensation on surfaces
Applications open for Innovation Postdoc in Bioeconomy
A fully funded, 12 month career track to turn your doctoral discoveries into a bioeconomy startup. Launching autumn 2026.
Finland ranks among Europe’s top investing nations, study finds
Nearly half of Finnish households now invest in stocks or mutual funds, according to a new study from Aalto University.