Access to credit for Italian firms: new evidence from the ISTAT confidence business surveys
The paper aims at investigating on the credit conditions experienced by Italian firms during the recent business cycle. In doing so, we use a novel dataset on firms’ opinions derived from the ISTAT Business Confidence surveys. The dataset allows us to add to existing literature in three different ways: first of all, the availability of a very rich set of information on firms' perceptions enables us to study a number of factors possibly influencing credit conditions at the firm level; secondly, the analysis may be extended beyond the Manufacturing sector, considering also the Construction, Retail and Services sectors; thirdly, the high frequency of the data helps in shedding light into the most recent period following the sovereign debt crisis, for which available evidence is still scarce. Starting from these considerations, three different panel data model are estimated, relating the probability of being credit constrained to various individual characteristics of the firms and of the sector in which they operate. Obtaining credit for Italian firms results to be easier in the North and being a Medium-Large firm. Moreover, access to credit is also found to crucially depend on individual credit worthiness; in Manufacturing, productive internationalization is found to have a negative effect on access to credit. Over time, credit conditions are particularly negative during the financial crisis, progressively recovering in 2009-2010. A new deterioration has been perceived by Italian firms since mid-2011, with the emerging of the sovereign debt crisis; this assessment is progressively translating into an effective credit rationing towards the end of last year and in the first months of 2012.
|Date of creation:||Sep 2012|
|Contact details of provider:|| Postal: Ludwigstraße 33, D-80539 Munich, Germany|
Web page: https://mpra.ub.uni-muenchen.de
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Jong-Wha Lee & Eduardo Borensztein, 2000.
"Financial Crisis and Credit Crunch in Korea; Evidence From Firm-Level Data,"
IMF Working Papers
00/25, International Monetary Fund.
- Borensztein, Eduardo & Lee, Jong-Wha, 2002. "Financial crisis and credit crunch in Korea: evidence from firm-level data," Journal of Monetary Economics, Elsevier, vol. 49(4), pages 853-875, May.
- Domac, Ilker & Ferri, Giovanni, 1998. "The real impact of financial shocks : evidence from the Republic of Korea," Policy Research Working Paper Series 2010, The World Bank.
- Beck, T.H.L. & Demirgüc-Kunt, A. & Laeven, L. & Maksimovic, V., 2006.
"The determinants of financing obstacles,"
Other publications TiSEM
3fd6bd22-71e9-4084-87a3-1, Tilburg University, School of Economics and Management.
- DellAriccia, Giovanni & Detragiache, Enrica & Rajan, Raghuram G, 2005.
"The Real Effect of Banking Crises,"
CEPR Discussion Papers
5088, C.E.P.R. Discussion Papers.
- Marco Malgarini & Patrizia Margani & Bianca Maria Martelli, 2005. "New Design of the ISAE Manufacturing Survey," Journal of Business Cycle Measurement and Analysis, OECD Publishing, Centre for International Research on Economic Tendency Surveys, vol. 2005(1), pages 125-142.
- Andrea F. Presbitero & Gregory F. Udell & Alberto Zazzaro, 2014.
"The Home Bias and the Credit Crunch: A Regional Perspective,"
Journal of Money, Credit and Banking,
Blackwell Publishing, vol. 46(s1), pages 53-85, 02.
- Andrea Filippo Presbitero & Gregory F. Udell & Alberto Zazzaro, 2012. "The Home Bias and the Credit Crunch: A Regional Perspective," Mo.Fi.R. Working Papers 60, Money and Finance Research group (Mo.Fi.R.) - Univ. Politecnica Marche - Dept. Economic and Social Sciences.
- Wei Ding & Domac, Ilker & Ferri, Giovanni, 1998. "Is there a credit crunch in East Asia?," Policy Research Working Paper Series 1959, The World Bank.
- de Bondt, Gabe & Maddaloni, Angela & Peydró, José-Luis & Scopel, Silvia, 2010. "The euro area Bank Lending Survey matters: empirical evidence for credit and output growth," Working Paper Series 1160, European Central Bank.
When requesting a correction, please mention this item's handle: RePEc:pra:mprapa:41389. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Joachim Winter)
If references are entirely missing, you can add them using this form.