The Expansion of Peer-to-Peer Lending
| Autor: | Olena Havrylchyk, Carlotta Mariotto, Marianne Verdier, Talal Rahim |
|---|---|
| Rok vydání: | 2020 |
| Předmět: |
Economics and Econometrics
050208 finance Consumer demand 05 social sciences Monetary economics Peer-to-peer computer.software_genre Market structure Information and Communications Technology 0502 economics and business Financial crisis Bond market Business Club 050207 economics computer Barriers to entry |
| Zdroj: | Review of Network Economics. 19:145-187 |
| ISSN: | 1446-9022 2194-5993 |
| DOI: | 10.1515/rne-2020-0033 |
| Popis: | We use data from the two leading US platforms, Prosper and Lending Club, to explore the drivers of the growing consumer demand for peer-to-peer (P2P) credit. Despite the online nature of new entrants, we rely on the spatial autoregressive model because spatial effects play an important role. Our findings suggest that the initial growth of P2P lending was spurred by the global financial crisis, but its growth after 2011 occurred in counties that were underserved by bank branches. The growth of P2P lending is slower in counties with high bank concentration and this factor is the most robust, stable over time and economically important in our study. Counties with lower population density, lower share of educated and young people experience lower growth of P2P lending, consistent with the hypothesis that learning costs deter the entry of new entrants. |
| Databáze: | OpenAIRE |
| Externí odkaz: |
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