143
Views
0
CrossRef citations to date
0
Altmetric
Research Articles

Corporate borrowing exuberance and credit cycles- some insights from an emerging economy, India

&
Pages 180-199 | Received 23 Jul 2020, Accepted 28 Sep 2020, Published online: 22 Oct 2020

References

  • Abaid, A., N. Oomes, and K. Udea. 2008. “The quality effect: Does financial liberalization improve the allocation of capital?” Journal of Development Economics 87 (2): 270–82
  • Adrian, T., and H.S. Shin. 2010. “The changing nature of financial intermediation and the financial crisis of 2007–2009.” Annual Review of Economics 2 (1): 603–18.doi:10.1146/annurev.economics.102308.124420
  • Arpa, M., I. Giulini, A. Ittner, and F. Pauer. 2001. The influence of macroeconomic developments on Austrian banks: Implications for banking supervision. Bank for International Settlements, BIS Paper, No 1.
  • Athanasogloua, P., I. Daniilidis, and M. Delis. 2014. “Bank procyclicality and output: Issues and policies.” Journal of Economics and Business 72: 58–83. doi:10.1016/j.jeconbus.2013.10.003
  • Baboucek, I., and M. Jancar 2005. “Effects of Macroeconomic Shocks to the Quality of the Aggregate Loan Portfolio.” Working Papers 2005/01, Czech National Bank.
  • Bank for International Settlements 2010. “Countercyclical Capital Buffer Proposal – Consultative Document”, July.
  • Bawa, J., V. Goyal, S. Mitra, and S. Basu. 2019. “An analysis of NPAs of Indian banks: Using a comprehensive framework of 31 financial ratios.” IIMB Management Review 31 (1): 51–62.doi:10.1016/j.iimb.2018.08.004
  • Berger, A., and G. Udell. 2002. “Small Business Credit Availability And Relationship Lending: The Importance Of Bank Organisational Structure.” The Economic Journal Volume112 (477): F32–F53.doi:10.1111/1468-0297.00682
  • Berger, A.N., and G.F. Udell. 2004. “The institutional memory hypothesis and the procyclicality of bank lending behavior.” Journal of Financial Intermediation 13 (4): 458–95.doi:10.1016/j.jfi.2004.06.006
  • Bhaduri, S. 2000. “Liberalization and Firm’s Choice of Financial Structure in an Emerging Economy: The Indian Corporate Sector.” Development Policy Review 18 (4): 413–34.doi:10.1111/1467-7679.00119
  • Bhaduri, S., and A. Bhattacharya. 2018. “Financial Liberalization and Allocation of Capital: Dark Side of the Moon.” Journal of Quantitative Economics 16 (1): 163–85.doi:10.1007/s40953-018-0128-5
  • Bhaduri, S.N., and A. Kumar. 2014. “Allocation of capital in the post-liberalized regime: A case study of the Indian corporate sector.” Development Studies Research. An Open Access Journal 1 (1): 137–47
  • Bhattacharyya, S., and A. Saxena. 2009. “Does the firm size matter? An empirical enquiry into the performance of Indian manufacturing firms.” PES Business Review 4 (2): 87–98
  • Bikker, J., and P. Metze. 2005. “Bank provisioning behaviour and procyclicality.” Journal of International Financial Markets, Institutions and Money 15 (2): 141–57.doi:10.1016/j.intfin.2004.03.004
  • Bofondi, M., and T. Ropele 2011. “Macroeconomic determinants of bad loans: Evidence from Italian banks.” Bank of Italy Occasional Paper, (89).
  • Borio, C., C. Furfine, and P. Lowe. 2001. “Procyclicality of the financial system and financial stability: Issues and policy options.” BIS Papers 1: 1–57
  • Bouvatier, V., A. López-Villavicencio, and V. Mignon. 2012. “Does the banking sector structure matter for credit procyclicality?” Economic Modelling Volume 29 (4): 1035–44.doi:10.1016/j.econmod.2012.03.012
  • Breuer, J. 2006. “Problem bank loans, conflicts of interest, and institutions.” Journal of Financial Stability 2 (3): 266–85.doi:10.1016/j.jfs.2006.07.001
  • Caporale, G., J. Hunter, and F. Ali 2013 March. “On the linkages between stock prices and exchange rates: Evidence from the banking crisis of 2007–2010.” Economics and Finance Working Paper Series, Working Paper No. 13–07.
  • Caporale, G.M., S. Di Colli, and J.S. Lopez. 2014. “Bank lending procyclicality and credit quality during financial crises.” Economic Modelling 43: 142–57. doi:10.1016/j.econmod.2014.07.031
  • Chadha, A., and R. Oriani. 2010. “R and D market value under weak intellectual property rights protection: The case of India.” Scientometrics 82 (1): 59–74.doi:10.1007/s11192-009-0042-x
  • Chavan, P., and L. Gambacorta. 2019. “Bank lending and loan quality: An emerging economy perspective.” Empirical Economics 57 (1): 1–29.doi:10.1007/s00181-018-1436-5
  • Clement, P. 2010. “The term “macroprudential”: Origins and evolution.” BIS Quarterly Review.
  • Cucinelli, D. 2015. “The Impact of Non-performing Loans on Bank Lending Behavior: Evidence from the Italian Banking Sector.” Eurasian Journal of Business and Economics 8 (16): 59–71. doi:10.17015/ejbe.2015.016.04
  • De Bock, R., and A. Demyanets 2012. “Bank Asset Quality in Emerging Markets: Determinants and Spillovers.” IMF Working Paper WP/12/71.
  • Demirgüç-Kunt, A., and V. Maksimovic. 1998. “Law, finance, and firm growth.” The Journal of Finance 53 (6): 2107–37.doi:10.1111/0022-1082.00084
  • Diamond, D. 1991. “Monitoring and Reputation: The Choice between Bank Loans and Directly Placed Debt.” Journal of Political Economy 99: 689–721. doi:10.1086/261775
  • Dickey, D. A. and Fuller, W. A. 1979. Distribution of the estimators for autoregressive time series with a unit root. Journal of the American Statistical Association, 74(336 366a): 427–431. doi:10.1080/01621459.1979.10482531
  • Festic, M., A. Kavkler, and S. Repina. 2011. “The macroeconomic sources of systemic risk in the banking sectors of five new EU member states.” Journal of Banking and Finance 35 (2): 310–22.doi:10.1016/j.jbankfin.2010.08.007
  • Filosa, R. 2007. “Stress testing of the stability of the Italian banking system: A VAR approach. Heterogeneity and monetary policy 0703,” Universita di Modena e Reggio Emilia, Dipartimento di Economia Politica.
  • Gambera, M. 2000. “Simple Forecasts of Bank Loan Quality in the Business Cycle,”.Emerging Issues Series Federal Reserve Bank of Chicago.
  • Gavin, M., and R. Hausmann 1996. “The Roots of Banking Crises: The Macroeconomic Context.” IDB Working Paper No. 262.
  • Ghosh, S., D.M. Nachane, A. Narain, and S. Sahoo. 2003. “Capital requirements and bank behaviour: An empirical analysis of Indian public sector banks.” Journal of International Development: The Journal of the Development Studies Association 15 (2): 145–56.doi:10.1002/jid.947
  • Gormley, T.A. 2010. “The impact of foreign bank entry in emerging markets: Evidence from India.” Journal of Financial Intermediation 19 (1): 26–51.doi:10.1016/j.jfi.2009.01.003
  • Gourinchas, P.-O., R. Valdes, and O. Landerretche 2001 “Lending Booms: Latin America and the World.” Economía Journal, the Latin American and Caribbean Economic Association - LACEA (Spring 20): 47–100.
  • Guha-Khasnobis, B., and S.N. Bhaduri. 2000. “A hallmark of India’s new economic policy: Deregulation and liberalization of the financial sector.” Journal of Asian Economics 11 (3): 333–46.doi:10.1016/S1049-0078(00)00063-4
  • Guttentag, J., and R. Herring 1986. “Disaster Myopia in International Banking.” Essays in International Finance, No. 164, September.
  • Hardy, D., and C. Pazarbaşioğlu. 1999. “Determinants and Leading Indicators of Banking Crises: Further Evidence.” IMF Staff Papers 46 (3): 247–58
  • Hodrick, R., and E. Prescott 1981. “Post-War U.S. Business Cycles: An Empirical Investigation.” Discussion Papers 451, Northwestern University, Center for Mathematical Studies in Economics and Management Science.
  • Hodrick, R., and E. Prescott. 1997. “Postwar U.S. Business Cycles: An Empirical Investigation. Journal of Money.” Credit and Banking 29 (1): 1–16.doi:10.2307/2953682
  • Hoggarth, G., A. Logan, and L. Zicchino. 2005. “Macro stress tests of UK banks.” In Investigating the relationship between the financial and real economy, Bank for International Settlements, BIS papers, 22, 392-408.
  • Jimenez, G., V. Salas, and J. Saurina. 2006. “Determinants of collateral.” Journal of Financial Economics 81 (2): 255–81.doi:10.1016/j.jfineco.2005.06.003
  • Keeton, W., and C. Morris. 1987. “Why do banks’ loan losses differ?” Economic Review 72 (May): 3–21
  • Keeton, W.R. 1999. “Does faster loan growth lead to higher loan losses?” Economic Review, Federal Reserve Bank of Kansas City 84 (Q II): 57–75
  • Kiyotaki, N. and Moore, J., 1997. Credit cycles. Journal of Political Economy, 105(2): 211–248. doi:10.1086/262072
  • Kozak, S. 2016. “Do Low Interest Rates mean low earnings for banks?” Oeconomia 15: 1
  • Lowe, P. 2002. “Credit risk measurement and procyclicality.” BIS Working Paper No. 116.
  • Messai, A.S., and F. Jouini. 2013. “Micro and macro determinants of non-performing loans.” International Journal of Economics and Financial Issues 3 (4): 852.
  • Misra, B.M. and Dhal, S., 2010. Pro-cyclical management of banks’ non-performing loans by the Indian public sector banks. BIS Asian Research Papers, 16: 1–23.
  • Nachane, D., S. Ghosh, and P. Ray. 2006. “Basel II and Bank Lending Behaviour: Some Likely Implications for Monetary Policy.” Economic and Political Weekly vol.XLI (11): 1053–58
  • Pandit, B., and N. Siddharthan. 2003. “MNEs and market valuation of firms: A cross-sectional study of Indian electrical and electronic goods manufacturing firms.” Applied Economics 35 (6): 675–81.doi:10.1080/0003684022000042991
  • Phillips, P., and P. Perron. 1988. “Testing for a Unit Root in Time Series Regression.” Biometrika 75 (2): 335–46.doi:10.1093/biomet/75.2.335
  • Rajan, R. 1994. “Why Bank Credit Policies Fluctuate: A Theory and Some Evidence.” The Quarterly Journal of Economics 109 (2): 399–441.doi:10.2307/2118468
  • Rajan, R.G. 1992. “Insiders and Outsiders: The Choice between Informed and Arm’s‐Length debt.” The Journal of Finance Volume 47 (4): 1367–400.doi:10.1111/j.1540-6261.1992.tb04662.x
  • Rajan, R.G., and L. Zingales. 2001. “Financial systems, industrial structure, and growth.” Oxford Review of Economic Policy 17 (4): 467–82.doi:10.1093/oxrep/17.4.467
  • Salas, V., and J. Saurina. 2002. “Credit Risk in Two Institutional Regimes: Spanish Commercial and Savings Banks.” Journal of Financial Services Research 22 (3): 203–24.doi:10.1023/A:1019781109676
  • Samantaraya, A. 2009. “An Index to Assess the Stance of Monetary Policy in India in the Post-Reform Period.” Economic and Political Weekly 44: 20
  • Samantaraya, A. 2016. “Pro-cyclical credit growth and bank NPAs.” Economic and Political Weekly 51 (12): 112–19
  • Samantaraya, A., K. Seenaiah, and B. Rath. 2015. “Determinants of Bank Profitability in the Post-reform Period: Evidence from India.” Global Business Review, International Management Institute 16: 82–92
  • Saunders, A., E. Strock, and G. Nickolaos. 1990. “Ownership Structure, Deregulation, and Bank Risk Taking.” The Journal of Finance Volume45 (2): 643–54.doi:10.1111/j.1540-6261.1990.tb03709.x
  • Škarica, B. 2013. “Determinants of Non-Performing Loans in Central and Eastern European Countries.” EFZG Working Papers Series 1307, Faculty of Economics and Business, University of Zagreb.

Reprints and Corporate Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

To request a reprint or corporate permissions for this article, please click on the relevant link below:

Academic Permissions

Please note: Selecting permissions does not provide access to the full text of the article, please see our help page How do I view content?

Obtain permissions instantly via Rightslink by clicking on the button below:

If you are unable to obtain permissions via Rightslink, please complete and submit this Permissions form. For more information, please visit our Permissions help page.