Competition and strategic information acquisition in credit markets

Review of Financial Studies

Volumn 19, Issue 3, 2006, Pages 967-1000

  Hauswald, Robert ^a   Marquez, Robert ^b  

^a AMERICAN UNIVERSITY   (United States)

^b ARIZONA STATE UNIVERSITY   (United States)

Author keywords

[No Author keywords available]

Indexed keywords

EID: 33747880934     PISSN: 08939454     EISSN: 14657368     Source Type: Journal    
DOI: 10.1093/rfs/hhj021     Document Type: Article

References (48)

1. Acharya, V., I. Hasan, and A. Saunders, 2004, "The Effects of Focus and Diversification on Bank Risk and Return: Evidence from Individual Bank Loan Portfolios," forthcoming in Journal of Business.
2. Allen, F., 1990, "The Market for Information and the Origin of Financial Intermediation," Journal of Financial Intermediation, 1, 3-30.
3. Almazan, A., 2002, "A Model of Competition in Banking: Bank Capital vs. Expertise," Journal of Financial Intermediation, 11, 87-121.
4. Bengtsson, O., S. Kaplan, F. Martel, and P. Strömberg, 2002, "Investment Screening and Market Conditions: Evidence from Venture Capital Investments," Mimeograph, University of Chicago, Chicago, IL.
5. Berger, A., R. Demsetz, and P. Strahan, 1999, "The Consolidation of the Financial Services Industry: Causes, Consequences, and Implications for the Future," Journal of Banking and Finance, 23, 135-194.
6. Berger, A., N. Miller, M. Petersen, R. Rajan, and J. Stein, 2005, "Does Function Follow Organizational Form? Evidence from the Lending Practices of Large and Small Banks," Journal of Financial Economics, 76, 237-269.
7. Berger, A., R. Rosen, and G. Udell, 2001, "The Effect of Market Size Structure on Competition: The Case of Small Business Lending," Mimeograph, FRB Chicago.
8. Berger, A., A. Saunders, J. Scalise, and G. Udell, 1998, "The Effects of Bank Mergers and Acquisitions on Small Business Lending," Journal of Financial Economics, 50, 187-229.
9. Boot, A., and A. Thakor, 2000, "Can Relationship Banking Survive Competition?" Journal of Finance, 55, 679-713.
10. Broecker, T., 1990, "Credit-Worthiness Tests and Interbank Competition," Econometrica, 58, 429-452.
11. Bouckaert, J., and H. Degryse, 2005, "Entry and Strategic Information Display in Credit Markets," forthcoming in Economic Journal.
12. Chiappori, P.-A., D. Perez-Castrillo, and T. Verdier, 1995, "Spatial Competition in the Banking System: Localization, Cross-Subsidies, and the Regulation of Deposit Rates," European Economic Review, 39, 889-918.
13. Degryse, H., and S. Ongena, 2005, "Distance, Lending Relationships, and Competition," Journal of Finance, 60, 231-266.
14. Degryse, H., and P. Van Cayseele, 2000, "Relationship Lending within a Bank-Based System: Evidence from European Small Business Data," Journal of Financial Intermediation, 9, 90-109.
15. Dell'Ariccia, G., 2001, "Asymmetric Information and the Structure of the Banking Industry," European Economic Review, 45, 1957-1980.
16. Deneckere, R., and C. Davidson, 1985, "Incentives to Form Coalitions with Bertrand Competition," RAND Juurnal of Economics, 16, 473-486.
17. Dennert, J., 1993, "Price Competition Between Market Makers," Review of Economic Studies, 60, 735-751.
18. Detragiache, E., P. Garella, and L. Guiso, 2000, "Multiple Versus Single Banking Relationships: Theory and Evidence," Journal of Finance, 55, 1133-1161.
19. Diamond, D., 1984, "Financial Intermediation and Delegated Monitoring," Review of Economic Studies, 51, 393-414.
20. Dine, S., 2000, "Bank Reputation, Bank Commitment, and the Effect of Competition in Credit Markets," Review of Financial Studies, 13, 781-812.
21. Eaton, B.C., and N. Schmitt, 1994, "Flexible Manufacturing and Market Structure," American Economic Review, 84, 875-888.
22. Emmons, W., and Greenbaum, S., 1998, "Twin Information Revolutions and the Future of Financial Intermediation," in Y. Amihud and G. Miller (eds.), Bank Mergers and Acquisitions, Kluwer Academic Publishers, New York, NY.
23. Engelbrecht-Wiggans, R., P. Milgrom, and R. Weber, 1983, "Competitive Bidding with Proprietary Information," Journal of Mathematical Economics, 11, 161-169.
24. Farinha, M., and J. Santos, 2002, "Switching from Single to Multiple Bank Lending Relationships: Determinants and Implications," Journal of Financial Intermediation, 11, 124-151.
25. Freixas, X., and J.-C. Rochet, 1997, Microeconomics of Banking, MIT Press, Cambridge, MA.
26. Gehrig, T., 1996, "Market Structure, Monitoring and Capital Adequacy Regulation," Swiss Journal of Economics and Statistics, 132, 685-702.
27. Gehrig, T., 1998, "Screening, Cross-Border Banking, and the Allocation of Credit," Research in Economics, 52, 387-407.
28. Gehrig, T., and R. Stenbacka, 2001, "Information Sharing in Banking: A Collusive Device?" CEPR Discussion Paper No. 2911.
29. Greenspan, A., 1998, "The Effect of Mergers," Testimony before the Committee on the Judiciary, US Senate, 16 June 1998.
30. Hauswald, R., and R. Marquez, 2000, "Competition and Strategic Information Acquisition in Credit Markets," Mimeograph, University of Maryland, College Park, MD.
31. Hauswald, R., and R. Marquez, 2003, "Information Technology and Financial Services Competition," Review of Financial Studies, 16, 921-948.
32. Hauswald, R., and R. Marquez, 2004, "Loan-Portfolio Quality and the Diffusion of Technological Innovation," FDIC Working Paper 04-02 College Park, MD.
33. James, C., 1987, "Some Evidence on the Uniqueness of Bank Loans," Journal of Financial Economics, 19, 217-235.
34. Ljungqvist, A., and M. Richardson, 2003, "The Investment Behaviour of Private Equity Fund Managers," Mimeograph, NYU, New York, NY.
35. Lummer, S., and J. McConnell, 1989, "Further Evidence on the Bank Lending Process and the Capital Market Response to Bank Loan Agreements," Journal of Financial Economics, 25, 99-122.
36. Petersen, M., and Rajan, R., 1995, "The Effect of Credit Market Competition on Lending Relationships," Quarterly Journal of Economics, 110, 407-443.
37. Petersen, M., and Rajan, R., 2002, "Does Distance Still Matter? The Information Revolution in Small Business Lending," Journal of Finance, 57, 2533-2570.
38. Ramakrishnan, R., and A. Thakor, 1984, "Information Reliability and a Theory of Financial Intermediation," Review of Economic Studies, 51, 415-432.
39. Rajan, R., 1992, "Insiders and Outsiders: The Choice between Informed and Arm's-Length Debt," Journal of Finance, 47, 1367-1400.
40. Riordan, M., 1993, "Competition and Bank Performance: A Theoretical Perspective," in C. Mayer and X. Vives (eds.), Capital Markets and Financial Intermediation, Cambridge University Press, Cambridge, UK.
41. Salop, S., 1979, "Monopolistic Competition with Outside Goods," Bell Journal of Economics, 10, 141-156.
42. Shaffer, S., 1998, "The Winner's Curse in Banking," Journal of Financial Intermediation, 7, 359-392.
43. Sharpe, S., 1990, "Asymmetric Information, Bank Lending and Implicit Contracts: A Stylized Model of Customer Relationships," Journal of Finance, 45, 1069-1087.
44. Tirole, J., 1988, The Theory of Industrial Organization, MIT Press, Cambridge, MA.
45. Villas-Boas, M., and U. Schmidt-Mohr, 1999, "Oligopoly with Asymmetric Information: Differentiation in Credit Markets," RAND Journal of Economics, 30, 375-396.
46. von Thadden, E.-L., 2004, "Asymmetric Information, Bank Lending and Implicit Contracts: The Winner's Curse," Finance Research Letters, 1, 11-23.
47. Wilhelm, W., 2001, "The Internet and Financial Market Structure," Oxford Review of Economic Policy, 17, 235-247.
48. Winton, A., 1999, "Don't Put All Your Eggs in One Basket? Diversification and Specialization in Lending," Mimeograph, University of Minnesota, Minneapolis, MN.