Sharing the Pain? Credit Supply and Real Effects of Bank Bail-ins
Sharing the Pain? Credit Supply and Real Effects of Bank Bail-ins
复制标题
DOI:
10.1093/rfs/hhaa067
复制
发表时间:
2021-04-01
影响因子:
8.2
通讯作者:
Silva, Andre F.
中科院分区:
文献类型:
--
作者:
Beck, Thorsten;Da-Rocha-Lopes, Samuel;Silva, Andre F.
We analyze the credit supply and real effects of bank bail-ins by exploiting the unexpected failure and subsequent resolution of a major Portuguese bank. Using loan-level data, we show that while firms more exposed to the bail-in suffered a significant contraction of credit at the intensive margin, they were on average able to compensate for the supply-driven shock. However, affected SMEs experienced a binding reduction of funds available through credit lines, and those with lower internal liquidity increased precautionary cash holdings and reduced investment and employment. Our results highlight the trade-off policymakers face when considering this new bank resolution mechanism.