Template-type: ReDIF-Paper 1.0
Author-Name: Martin Brown
Author-Name-First: Martin
Author-Name-Last: Brown
Author-Person: pbr129
Author-Name: Tullio Jappelli
Author-Name-First: Tullio
Author-Name-Last: Jappelli
Author-Person: pja11
Author-Name: Marco Pagano
Author-Name-First: Marco
Author-Name-Last: Pagano
Author-Person: ppa56
Title: Information Sharing and Credit: Firm-Level Evidence from Transition Countries
Abstract: We investigate whether information sharing among banks has affected credit market performance in the transition countries of Eastern Europe and the former Soviet Union, using a large sample of firm-level data. Our estimates show that information sharing is associated with improved availability and lower cost of credit to firms. This correlation is stronger for opaque firms than transparent firms, and stronger in countries with weak legal environments than countries with strong legal environments. In cross-sectional estimates, we control for variation in country-level aggregate variables that may affect credit, by examining the differential impact of information sharing across firm types. In panel estimates, we also control for the presence of unobserved heterogeneity at the firm level, as well as for changes in macroeconomic variables and the legal environment.
Length: 42 pages
Creation-Date: 2007
Contact-Email: forschung@snb.ch
File-URL: https://www.snb.ch/en/publications/research/working-papers/2007/working_paper_2007_15
File-Format: text/html
Number: 2007-15
Classification-JEL: D82, G21, G28, O16, P34
Keywords: information sharing, credit access, transition countries
Handle: RePEc:snb:snbwpa:2007-15