Italian firms may rely too much on bank credit – research
Bank of Italy paper brings together different data sources to examine firms’ sources of capital
Italian firms’ dependence on banks as a source of capital increases their vulnerability in recessions, a working paper published by the Bank of Italy says.
In Bank credit, liquidity and firm-level investment: are recessions different? Ines Buono and Sara Formai combine several different sources to build a dataset on Italian bank lending from 1997 to 2012.
The authors use data on banking mergers and acquisitions to isolate exogenous shocks to banks’ supply of credit to firms. They find that
Only users who have a paid subscription or are part of a corporate subscription are able to print or copy content.
To access these options, along with all other subscription benefits, please contact info@centralbanking.com or view our subscription options here: http://subscriptions.centralbanking.com/subscribe
You are currently unable to print this content. Please contact info@centralbanking.com to find out more.
You are currently unable to copy this content. Please contact info@centralbanking.com to find out more.
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Printing this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
Copyright Infopro Digital Limited. All rights reserved.
You may share this content using our article tools. Copying this content is for the sole use of the Authorised User (named subscriber), as outlined in our terms and conditions - https://www.infopro-insight.com/terms-conditions/insight-subscriptions/
If you would like to purchase additional rights please email info@centralbanking.com
Most read
- Profit inflation and monetary policy: weighing the evidence
- What is forecasting for? Bernanke and the future of BoE projections
- Central bank of the year: Central Bank of Brazil