scholarly journals Communication within Banking Organizations and Small Business Lending

2020 ◽  
Vol 33 (12) ◽  
pp. 5750-5783
Author(s):  
Ross Levine ◽  
Chen Lin ◽  
Qilin Peng ◽  
Wensi Xie
Keyword(s):  
Small Business ◽  
Travel Time ◽  
Small Firm ◽  
Soft Information ◽  
Travel Times ◽  
Small Business Lending ◽  
Communication Costs ◽  
Small Business Loans ◽  
The Impact

Abstract We investigate how communication within banks affects small business lending. Using travel times between a bank’s headquarters and its branches to proxy for the costs of communicating soft information, we exploit shocks to these travel times—the introduction of new airline routes—to evaluate the impact of within-bank communication costs on small business loans. We find that reducing headquarters-branch travel time boosts small business lending in the branch’s county. Several extensions suggest that new airline routes facilitate in-person communications that boost small-firm lending.

scholarly journals Effects of Regional Bank Merger on Small Business Borrowing: Evidence from Japan

2015 ◽  
Vol 7 (11) ◽  
pp. 62
Author(s):  
Hironobu Miyazaki ◽  
Hiroyuki Aman
Keyword(s):  
Small Business ◽  
Small Businesses ◽  
Economies Of Scale ◽  
Loan Portfolio ◽  
Small Business Lending ◽  
Borrowing Costs ◽  
Bank Merger ◽  
Regional Bank ◽  
Small Business Loans ◽  
The Impact

This study examines the impact of a regional bank merger in Japan on borrowing by small businesses, focusing on firms that borrow from the acquiring bank, the acquired bank, or both. First, we find that post-merger borrowing costs declined. This result suggests that small borrowers enjoy more favorable post-merger financing conditions because efficiencies from economies of scale lead to lower costs. Second, we<strong> </strong>find that post-merger borrowing costs decline for firms that borrow only from the acquiring or acquired bank, whereas they did not decline for firms that borrow from both. Third, we find that only small business loans to firms that borrow from both the acquiring and acquired banks decrease post-merger. This result suggests that small business lending might decline because of a merged bank’s loan portfolio and lending strategy.

scholarly journals Parking Pricing and Model Split under Uncertainty

2014 ◽  
Vol 2014 ◽  
pp. 1-8 ◽  
Author(s):  
Chengjuan Zhu ◽  
Bin Jia ◽  
Linghui Han ◽  
Ziyou Gao
Keyword(s):  
Travel Time ◽  
Confidence Level ◽  
Time Budget ◽  
Route Choice ◽  
Analytic Solutions ◽  
User Equilibrium ◽  
Travel Times ◽  
Modal Split ◽  
Parking Pricing ◽  
The Impact

In order to investigate different route choice criteria in a competitive highway/park-and-ride (P&R) network with uncertain travel times on the road, a bilevel programming model for solving the problem of determining parking fees and modal split is presented. In the face of travel time uncertainty, travelers plan their trips with a prespecified on-time arrival probability. The impact of three route choice criteria: the mean travel time, the travel time budget, and mean-excess travel time, is compared for parking pricing and modal split. The model at user equilibrium is described as a minimization model. And the analytic solutions are given. Analytic solutions show that both flow and travel time at equilibrium are independent of the price difference of travel expense on money. The main findings from the numerical results are elaborated. While given a confidence level, the flow on the highway changed significantly with the criteria, although the differences of the travel times are small. Travelers can be guided to choose their modes coordinately by improving the quality of the transit service. The optimal parking fees can be affected markedly by the confidence level. Finally, the influence of the log-normal distribution parameters is tested and analyzed.

scholarly journals Network Fundamental Diagram Based Routing of Vehicle Fleets in Dynamic Traffic Simulations

2020 ◽  
Author(s):  
Florian Dandl ◽  
Gabriel Tilg ◽  
Majid Rostami-Shahrbabaki ◽  
Klaus Bogenberger
Keyword(s):  
Travel Time ◽  
Transportation Network ◽  
Time Factor ◽  
Travel Times ◽  
Dynamic Traffic ◽  
Fundamental Diagram ◽  
Trade Off ◽  
On Demand ◽  
Network Fundamental Diagram ◽  
The Impact

The growing popularity of mobility-on-demand fleets increases the importance to understand the impact of mobility-on-demand fleets on transportation networks and how to regulate them. For this purpose, transportation network simulations are required to contain corresponding routing methods. We study the trade-off between computational efficiency and routing accuracy of different approaches to routing fleets in a dynamic network simulation with endogenous edge travel times: a computationally cheap but less accurate Network Fundamental Diagram (NFD) based method and a more typical Dynamic Traffic Assignment (DTA) based method. The NFD-based approach models network dynamics with a network travel time factor that is determined by the current average network speed and scales free-flow travel times. We analyze the different computational costs of the approaches in a case study for 10,000 origin-destination (OD) pairs in a network of the city of Munich, Germany that reveals speedup factors in the range of 100. The trade-off for this is less accurate travel time estimations for individual OD pairs. Results indicate that the NFD-based approach overestimates the DTA-based travel times, especially when the network is congested. Adjusting the network travel time factor based on pre-processed DTA results, the NFD-based routing approach represents a computationally very efficient methodology that also captures traffic dynamics in an aggregated way.

scholarly journals On the conceptual complexity of non-point source management: impact of spatial variability

2020 ◽  
Vol 24 (3) ◽  
pp. 1189-1209 ◽  
Author(s):  
Christopher Vincent Henri ◽  
Thomas Harter ◽  
Efstathios Diamantopoulos
Keyword(s):  
Spatial Variability ◽  
Point Source ◽  
Travel Time ◽  
Numerical Models ◽  
Regional Scale ◽  
Capture Zone ◽  
Travel Times ◽  
Screen Length ◽  
Nps Pollution ◽  
The Impact

Abstract. Non-point source (NPS) pollution has degraded groundwater quality of unconsolidated sedimentary basins over many decades. Properly conceptualizing NPS pollution from the well scale to the regional scale leads to complex and expensive numerical models: key controlling factors of NPS pollution – recharge rate, leakage of pollutants, and soil and aquifer hydraulic properties – are spatially and, for recharge and pollutant leakage, temporally variable. This leads to high uncertainty in predicting well pollution. On the other hand, concentration levels of some key NPS contaminants (salinity, nitrate) vary within a limited range (< 2 orders of magnitude), and significant mixing occurs across the aquifer profile along the most critical compliance surface: drinking water wells with their extended vertical screen length. Given these two unique NPS contamination conditions, we here investigate the degree to which NPS travel time to wells and the NPS source area associated with an individual well can be appropriately captured, for practical applications, when spatiotemporally variable recharge, contaminant leakage rates, or hydraulic conductivity are represented through a sub-regionally homogenized parametrization. We employ a Monte Carlo-based stochastic framework to assess the impact of model homogenization on key management metrics for NPS contamination. Results indicate that travel time distributions are relatively insensitive to the spatial variability of recharge and contaminant loading, while capture zone and contaminant time series exhibit some sensitivity to source variability. In contrast, homogenization of aquifer heterogeneity significantly affects the uncertainty assessment of travel times and capture zone delineation. Surprisingly, the statistics of relevant NPS well concentrations (fast and intermediate travel times) are fairly well reproduced by a series of equivalent homogeneous aquifers, highlighting the dominant role of NPS solute mixing along well screens.

scholarly journals Network Fundamental Diagram Based Routing of Vehicle Fleets in Dynamic Traffic Simulations

2020 ◽  
Author(s):  
Florian Dandl ◽  
Gabriel Tilg ◽  
Majid Rostami-Shahrbabaki ◽  
Klaus Bogenberger
Keyword(s):  
Travel Time ◽  
Transportation Network ◽  
Time Factor ◽  
Travel Times ◽  
Dynamic Traffic ◽  
Fundamental Diagram ◽  
Trade Off ◽  
On Demand ◽  
Network Fundamental Diagram ◽  
The Impact

The growing popularity of mobility-on-demand fleets increases the importance to understand the impact of mobility-on-demand fleets on transportation networks and how to regulate them. For this purpose, transportation network simulations are required to contain corresponding routing methods. We study the trade-off between computational efficiency and routing accuracy of different approaches to routing fleets in a dynamic network simulation with endogenous edge travel times: a computationally cheap but less accurate Network Fundamental Diagram (NFD) based method and a more typical Dynamic Traffic Assignment (DTA) based method. The NFD-based approach models network dynamics with a network travel time factor that is determined by the current average network speed and scales free-flow travel times. We analyze the different computational costs of the approaches in a case study for 10,000 origin-destination (OD) pairs in a network of the city of Munich, Germany that reveals speedup factors in the range of 100. The trade-off for this is less accurate travel time estimations for individual OD pairs. Results indicate that the NFD-based approach overestimates the DTA-based travel times, especially when the network is congested. Adjusting the network travel time factor based on pre-processed DTA results, the NFD-based routing approach represents a computationally very efficient methodology that also captures traffic dynamics in an aggregated way.

scholarly journals Impact of Bank Closings on Credit Extension to Businesses in Low-Income and Minority Neighborhoods

2019 ◽  
Vol 47 (1) ◽  
pp. 20-49
Author(s):  
Maude Toussaint-Comeau ◽  
Yi David Wang ◽  
Robin Newberger
Keyword(s):  
Small Business ◽  
Low Income ◽  
Small Businesses ◽  
Bank Failures ◽  
Small Community ◽  
Community Banks ◽  
Small Business Lending ◽  
Local Areas ◽  
New Research ◽  
The Impact

New research is surfacing since the last financial crisis, not only to help predict risks associated with bank failures but also to assess the impact of bank failures on the economy and local geographies. However, although bank failures occurred mostly among small (community) banks, much less is understood regarding how the closing of mission-oriented community banks, or minority-owned banks, affect traditionally underserved markets, areas such failed banks were designed to serve. We conduct an empirical investigation testing the effects of bank closings on local areas. We find that, as a result of bank closings, there are significant frictions with small businesses obtaining credit, which appear to be potent enough to cause cumulative declines in aggregate small business lending in neighborhoods, lasting up to 3 years. We also find evidence that such lending shocks have repercussions on small business growth. We find that the closing of large banks also has an impact on small business lending, consistent with previous research, which has shown that as small businesses lose credit from large banks, they are not able to switch easily to other banks, leading to a decline in aggregate lending in local areas. We find this to be true for low- or moderate-income (LMI) and minority businesses/neighborhoods. We also find that the failure of community development financial institutions (CDFIs) and minority depository institutions (MDIs) leaves a credit void that may not automatically be filled in LMI and minority neighborhoods.

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