The Determinants of Cross-Border Lending in the Euro Zone
AbstractWe investigate the determinants of cross-border lending in the euro zone with a focus on the potentially limiting role of cultural and political factors. Employing a unique data set of European cross-border loans, the study uses various specifications of gravity models, which are subsequently augmented by societal proxies. Although trade-theoretic and financial development reasoning can explain part of the surge in cross-border lending, we demonstrate that distance and borders still matter. Moreover, we identify cultural differences and different legal family origin as important barriers to further integration in the euro zone.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoArticle provided by Palgrave Macmillan in its journal Comparative Economic Studies.
Volume (Year): 51 (2009)
Issue (Month): 4 (December)
Contact details of provider:
Web page: http://www.palgrave-journals.com/
Postal: Palgrave Macmillan Journals, Subscription Department, Houndmills, Basingstoke, Hampshire RG21 6XS, UK
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Fidrmuc, Jarko & Hainz, Christa, 2013.
"The effect of banking regulation on cross-border lending,"
Journal of Banking & Finance,
Elsevier, vol. 37(5), pages 1310-1322.
- Christa Hainz & Jarko Fidrmuc, 2012. "The Effect of Banking Regulation on Cross-Border Lending," Ifo Working Paper Series Ifo Working Paper No. 140, Ifo Institute for Economic Research at the University of Munich.
- Anton, Sorin Gabriel & Avadanei, Andreea, 2010. "The implications of European retail banking integration on small and medium-sized enterprises financing. An overview," MPRA Paper 28660, University Library of Munich, Germany.
- Sander, Harald & Kleimeier, Stefanie & Heuchemer, Sylvia, 2013. "E(M)U effects in global cross-border banking," Economics Letters, Elsevier, vol. 118(1), pages 91-93.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Elizabeth Gale).
If references are entirely missing, you can add them using this form.