Relationship lending and bank loan covenant violations

被引：2

作者：

Bo, Xu Chong ^{[1
]}

Li, Wenyi ^{[2
]}

Shi, Jing ^{[3
,4
]}

Zheng, Yi ^{[4
]}

Zhou, Qing ^{[4
]}

机构：

[1] Jiangxi Univ Finance & Econ, Sch Publ Finance & Publ Adm, Nanchang, Jiangxi, Peoples R China

[2] Cent China Normal Univ, Sch Econ & Business Adm, Wuhan, Peoples R China

[3] Shandong Univ Finance & Econ, Sch Finance, Jinan, Peoples R China

[4] Macquarie Univ, Dept Appl Finance, Sydney, NSW, Australia

来源：

ACCOUNTING AND FINANCE | 2021年 / 61卷 / 04期

关键词：

Relationship lending; Loan covenant violations; Information asymmetry;

D O I：

10.1111/acfi.12778

中图分类号：

F8 [财政、金融];

学科分类号：

0202 ;

摘要：

We examine the association between relationship lending and the likelihood of bank loan covenant violations. We find that relationship lending reduces the probability of ex-post covenant violations. The length of the lending relationships has an inverted U-shaped effect on the likelihood of covenant violations. The borrowers and lenders both benefit from relationship lending, but long-term lending relationships weaken the borrower's bargaining power.

引用

页码：5847 / 5878

页数：32

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