Article ID | Journal | Published Year | Pages | File Type |
---|---|---|---|---|
5089580 | Journal of Banking & Finance | 2013 | 10 Pages |
Abstract
⺠Trust reduces agency costs and transaction costs in banking relationships. ⺠When loan managers rely on trust they can better evaluate firm's creditworthiness. ⺠Benefits can be passed onto the SMEs in the form of increased credit. ⺠Benefits can be passed onto the SMEs in the form of reduced credit constraints. ⺠SMEs managers should nurture trusting relationships.
Related Topics
Social Sciences and Humanities
Economics, Econometrics and Finance
Economics and Econometrics
Authors
Andrea Moro, Matthias Fink,