The uniqueness of short-term collateralization
By: Leora Klapper.
Contributors: World Bank. Development Research Group. Finance.
Series: Policy research working paper ;; 2544; Policy research working papers (Online) ;; 2544.
Publisher: World Bank, Development Research Group, Finance
Published: 2001
Place of publication: Washington, D.C
Language: eng
Format: Electronic resource
Subjects: Commercial loans -- Econometric models.; Lines of credit -- Econometric models.; Security (Law)
Other titles: Uniqueness of short term collateralization
Description: A secured letter-of-credit loan allows a lender to make larger loans than would be permissible on an unsecured basis, maximizing a risky borrower's investment capital. Empirical evidence shows that secured letters of credit are used by borrowers who are informationally opaque and have higher observable risk. Such borrowers also have fewer growth opportunities and are less likely to pay dividends.
Notes: Includes bibliographical references (p. 32-33).
Title from title screen as viewed on Sept. 18, 2002.
"February 2001"--Cover.
Also available in print.
Mode of access: World Wide Web.