0000000000940546
AUTHOR
Federico Ramírez
Information acquisition in SME's relationship lending and the cost of loans
Abstract This study analyzes the effect of the reputation SMEs get in a relationship lending on the cost of next loans. A unique dataset of 734 Spanish SMEs' relationship lending provides information on a loan-by-loan basis about the ex post previous loan performance, which measures reputation. No prior empirical research differentiates the cost of loans following a defaulted loan from the costs of those following a successfully repaid loan. Results show that lenders obtain information about borrowers' risk-level during relationship lending and use this information. Loans granted after a successful one pledge significantly lower collateral and interest rate than loans granted after a defaul…
Toward Value Co-Creation: Increasing Women’s Presence in Management Positions through Competition against a Set Target
Despite empirical evidence that women’s presence in management positions is a source of value co-creation for firms, these positions are still male-dominated. Some evidence from experimental economics suggests that one reason for this imbalance is that women shy away from competition. However, most of these studies have focused on competition systems that pit individuals against each other. We present an economic laboratory experiment that compares competition against others with competition against a set target. The crucial difference is that whereas the former involves competing against opponents, the latter does not. Our results show that significantly more women are willing to compete a…
Gender, self-confidence, sports, and preferences for competition
In the last years, research in economics has shown a gender gap in the willingness to compete with women shying away from competition more than men do. This gender difference in preferences towards competition has been considered a critical factor in explaining the small percentage of women found in top-level positions in business, science, or politics. Therefore, in order to improve women job prospects, research and policy interventions try to offer incentives for women to increase competitive behavior. However, other recent studies specifically point at men¿s competitive behavior as the responsible for some of the financial markets malfunctions, suggesting that an influx of talented women…