Abstract Information, which can arrive in multiple forms, is a fundamental component of all
financial transactions and markets. We define hard and soft information and describe the …

We study the online market for peer-to-peer (P2P) lending, in which individuals bid on
unsecured microloans sought by other individual borrowers. Using a large sample of …

Recent advances in digital technology and big data have allowed FinTech (financial
technology) lending to emerge as a potentially promising solution to reduce the cost of credit …

Statistical default models, widely used to assess default risk, fail to account for a change in
the relations between different variables resulting from an underlying change in agent …

What are the implications of information technology (IT) in banking for financial stability?
Data on US banks' IT equipment and the background of their executives reveals that higher …

This paper investigates the relationship between securitization activity and the extension of
subprime credit. The analysis is motivated by two sets of compelling empirical facts. First, the …

Motivated by the world-wide surge of FinTech lending, we analyze the implications of
lenders' information technology adoption for financial stability. We estimate bank-level …

Through superior technology, financial technology (FinTech) firms may expand credit
markets. Alternatively, consumers may substitute one credit provider for another, generating …

This paper investigates banks' incentive to bias the risk estimates they report to regulators.
Within loan syndicates, we find that banks with less capital report lower risk estimates …

What determines securitization levels, and should they be regulated? To address these
questions we develop a model where originators can exert unobservable effort to increase …