Female entrepreneurs in trouble: do their bad loans last longer?

Preprint OPEN
Juri Marcucci ; Paolo Emilio Mistrulli (2013)
  • Subject: duration of bad loans, default status, survival analysis
    • jel: jel:G33 | jel:G21 | jel:C41
    mesheuropmc: education | health care economics and organizations

We investigate the duration of bad loans for a unique data set of sole proprietorships in Italy, finding that bad loans for female firms last longer. However, this result is mainly due to the fact that loans granted to female firms are less frequently written off than those to male ones, suggesting that for banks female firms might be more creditworthy than male firms. These findings are robust to censoring, alternative specifications of the distribution of bad loan duration and other bank-specific control variables.
  • References (26)
    26 references, page 1 of 3

    Alesina, Alberto, Lotti, Francesca and Mistrulli, Paolo Emilio, 2013. “Do Women Pay More for Credit? Evidence from Italy”, Journal of the European Economic Association, 11, 45-66.

    Banca d'Italia, 2008, Annual Report.

    Beck, Thorsten, Behr, Patrick, and Madestam, Andreas, 2012, “Sex and Credit: Is There a Gender Bias in Lending? ”, CentER Discussion Paper, 2012-062.

    Beck, Thorsten, Behr, Patrick, and Guettler, Andrea, 2012, “Gender and Banking: Are Women Better Loan Offices? ”, Review of Finance, 1-43, doi:10.1093/rof/rfs028.

    Bellucci, Andra, Borisov, Alexander, and Zazzaro, Alberto, 2010. “Does gender matter in bank-firm relationships?”, Journal of Banking and Finance, 34(12), 2968- 2984.

    Berkovec, James A., Canner, Glenn B., Stuart, Gabriel A., and Hannan, Timothy H., 1998. “Discrimination, Competition and Loan Performance in FHA Mortgage Lending”, Review of Economics and Statistics, 80, 241-250.

    Bonfim, Diana, Dias, Daniel A., Richmond, Christing, 2011. “What happens after default? Stylized facts on access to credit ”, Journal of Banking and Finance, 36, 2007-15.

    Cesaroni, Francesca M., Lotti, Francesca and Mistrulli, Paolo E., 2013 “Female firms and bank's lending behavior: what happened after the crisis?”, Bank of Italy, mimeo.

    Croson, R., and Gneezy, U., 2009. “Gender Differences in Preferences.”, Journal of Economic Literature, 47, 448-474.

    Dermine, J., and de Carvalho, C. Neto, 2006. “Bank loan losses-given-default: A case study”, Journal of Banking and Finance, 30(4), 1219-1243.

  • Metrics
    No metrics available
Share - Bookmark