IDEAS home Printed from https://ideas.repec.org/p/tky/jseres/2006cj160.html
   My bibliography  Save this paper

"Costs and Benefits of a Shock Therapy: Experiences from Large and Small Firms in Japan"(in Japanese)

Author

Listed:
  • Satoshi Koibuchi

    (JSPS Fellow, University of Tokyo)

  • Shin-ichi Fukuda

    (Faculty of Economics, University of Tokyo)

Abstract

A bank failure can have various consequences for the clients. The adverse impacts might, however, differ between large and small firms. In this paper, we focus on the clients of two large failed Japanese banks - the Long-term Credit Bank of Japan (LTCB) and the Nippon Credit Bank (NCB). We show that subsequent events after bank failures had different consequences between large and small firms. As for the clients of LTCB that had faced "shock therapy", the surviving large firms showed significant recovery of their profits but the surviving small firms did not. In contrast, as for the clients of NCB, the surviving small firms experienced significant decline in their profits when the new bank terminated the banking relationship.

Suggested Citation

  • Satoshi Koibuchi & Shin-ichi Fukuda, 2006. ""Costs and Benefits of a Shock Therapy: Experiences from Large and Small Firms in Japan"(in Japanese)," CIRJE J-Series CIRJE-J-160, CIRJE, Faculty of Economics, University of Tokyo.
    • Handle: RePEc:tky:jseres:2006cj160
    as

    Download full text from publisher

    File URL: http://www.cirje.e.u-tokyo.ac.jp/research/dp/2006/2006cj160.pdf
    Download Restriction: no
    ---><---

    More about this item

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:tky:jseres:2006cj160. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: CIRJE administrative office (email available below). General contact details of provider: https://edirc.repec.org/data/ritokjp.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.