Dynamics of Access to Credit and Perceptions of Lending Policy

Bank lending has been a major concern since the financial crisis. We study the effect of a firm’s own credit market experience on its perceived bank lending policy using the Austrian Business Climate Survey between 2011 and 2014. Our results show that firms’ perceptions of aggregate lending policy depend on their individual credit market experience. The negative experience, i.e., credit rejections by banks and relatively bad credit conditions, has a strong, negative and persistent impact on borrowers’ perceptions. Moreover, firms are more likely to revise their perceptions during the period in which they need a loan. Our results are in line with theories on sticky information, rational inattention and pessimism bias when forming perceptions.

Projektbeginn: 01.01.2017
Projektende: 01.01.2020

Prof. Dr. Jarko Fidrmuc, Dr. Christa Hainz, Dr. Werner Hölzl

Zeppelin University Friedrichshafen
Zeppelin-Lehrstuhl für Internationale Wirtschaftstheorie & -politik (eingerichtet 05 / 2011)

Am Seemooser Horn 20
88045 Friedrichshafen

Telefon: +49 7541 6009-1241
Fax: +49 7541 6009-1299
Email: jarko.fidrmuc@zu.de
http://www.zeppelin-university.de/deutsch/lehrstuehle/internationales_management/internationales_management_profil.php