From trade to terror: how global banks impact local economies

Schultz, Alison

PDF
Dissertation_Alison_final.pdf - Veröffentlichte Version
Download (3MB)

URN:	urn:nbn:de:bsz:180-madoc-650149
Dokumenttyp:	Dissertation
Erscheinungsjahr:	2023
Ort der Veröffentlichung:	Mannheim
Hochschule:	Universität Mannheim
Gutachter:	Maug, Ernst
Sprache der Veröffentlichung:	Englisch
Einrichtung:	Fakultät für Betriebswirtschaftslehre > ABWL u. Corporate Finance (Maug 2006-)
Fachgebiet:	330 Wirtschaft
Freie Schlagwörter (Englisch):	correspondent banking , trade finance , de-risking , conflict , medical tourism , terrorist financing , peer monitoring , interbank markets , portfolio similarity
Abstract:	This thesis investigates three aspects of global banks that go beyond their textbook understanding as lenders and deposit-takers. Using export data from emerging Europe, the first chapter shows that when local banks lose correspondent banking services, their corporate clients reduce exports, leading to decreased revenues and employment. The second chapter investigates the impact of organ trafficking on local conflict. By exploiting exogenous variation in kidney demand from the US waiting list for kidneys, I find that higher US kidney demand increases conflict in localities with a transplanting hospital in countries known for illegal organ trafficking. Based on data from the German credit register and proprietary supervisory information, the third chapter first observes that banks lend more to banks that are similar to them. It then shows how a similar portfolio of the lending and borrowing bank helps overcome information asymmetries in interbank markets.