Working Papers

While adverse selection is an important theoretical explanation for credit rationing it is difficult to empirically quantify. One reason is that most studies measure the elasticity of credit demand of existing or previous borrowers as opposed to the population at large.

Severe information asymmetries are thought to make contracting particularly difficult within (and across) firms in developing countries.

Miyauchi (2017) studies the short and long-term impacts of the interest rate caps on loans for large and medium-sized manufacturing enterprises introduced in 2009 and lifted in 2011 and 2012 in Bangladesh.

Yoon Lee and Shin (2017) analyze the effect of technological change in a novel framework that integrates an economy's skill distribution with its occupational and industrial structure. Individuals become managers or workers based on their managerial vs.