Eduardo Levi Yeyati, Alejandro Micco, Ugo Panizza|
Economia|
A Reappraisal of State-Owned Banks
This paper is centered around the claim that public banks inefficiently allocate credit. Although the authors do find some evidence of this, they also find that public banks may have a positive influence on private bank efficiency, and may help in reducing credit procyclicality. The paper concludes by stating the claim that public banks allocate credit in an inefficient manner is based on inconclusive cross-country studies- more research is needed to strengthen this argument.
Themes
State owned Financial Institutions
Region
Latin America & the Caribbean (LCR)
