Determinants of Agriculture-Related Loan Default: Evidence from China
This paper investigates agriculture-related loan default in 2002–2009 through a large data set from a leading Chinese state-owned bank. Using logit regression, we find the default rate on agriculture-related loans is significantly higher than that on non agriculture-related loans. We find that base interest rates, loan maturity, the type of collateral, firm size, ownership structure, and managerial quality rating have a significant impact on agriculture-related loan default, but this also depends on how agriculture-related loans are defined. The results provide insight into the real impact of monetary policy on agriculture-related lending.
Call Number | Location | Available |
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PSB lt.2 - Karya Akhir (Majalah) | 1 |
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